Federal budget update: Josh Frydenberg forecasts unemployment rate to fall to under 5%

In likely the last update before election, treasurer will highlight jobless rate of below 5% for first time since before GFC in MYEFO address

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The Treasurer, Josh Frydenberg, will reveal in Thursday's mid-year budget update that Australia's unemployment rate will fall comfortably below 5% next year as the economy continues to rebound.

After many months of volatile unemployment figures due to lockdowns and falling participation rates, the mid-year economic and fiscal outlook (MYEFO) will forecast the unemployment rate to drop to 4.5% in the June quarter of next year.

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