Treasurer Jim Chalmers says investors are backing the Australian economy even as domestic concerns over inflation and productivity persist. Australian Treasurer Jim Chalmers says international investors are showing growing confidence in the national economy even as domestic concerns over inflation and sluggish productivity persist. He pointed to a pickup in business investment as evidence that the government's economic management is working.

Chalmers acknowledged that public sentiment at home remains shaped largely by cost-of-living pressures and weak productivity figures, but argued that capital markets tell a different story. Officials say corporate investors continue to view Australia as one of the region's steadier growth opportunities.

The comments come as the government prepares for upcoming budget negotiations, with the opposition challenging its handling of the economy. Chalmers said he expects the investment data to feed through into stronger employment and growth figures in coming months.