A leading economist has issued a chilling warning to Australia, saying the country is swiftly heading towards an “economic disaster”. David Wild, Deputy Executive Director of the Institute of Public Affairs (IPA), has cautioned that Australia is heading for an “economic and humanitarian disaster” with limited new homes for locals and nowhere for migrants to live. Inflation has left millions struggling to save money, and surging rental, supermarket, and daily expenses are crippling others. The housing market is a significant concern, and housing approvals have fallen to their lowest level in nearly 12 years. Higher borrowing and building costs have deterred buyers in NSW and Victoria from committing to new homes, with January recording a 9.6% month-on-month decline in new house approvals, the weakest since June 2012. In addition, the total approvals of detached houses in January were at a seasonally adjusted 7565, the lowest in over a decade. The dire situation reflects in a new low, as detached housing approvals hit their lowest level in more than 11 years in January, leaving total approvals for 12 months at 101,030, the lowest in over ten years. This economic downturn has significant implications for both local residents and migrants, as limited housing opportunities intensify the crisis. These reports align with the concerns raised by the economist, warning of dire economic consequences. The government and relevant authorities are urged to take swift action to address this looming economic and humanitarian disaster.
