World News

Australia Faces 'Massive' Revenue Hit

March 17, 2013 2:59 a.m. ET

SYDNEY—Australia is facing a significant hit to government revenue as weaker commodity prices and a strong currency take their toll, Treasurer Wayne Swan said on Sunday, describing it as one of the country's biggest economic challenges.

The nation's terms of trade—the price it receives for exports compared with the price it pays for imports—have been under pressure over the past 12 months as the value of the commodities it exports, such as iron ore and coal, have fallen. Meanwhile, the strength of the Australian dollar,...

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