This report assesses the global macro-financial environment and its implications for Australia’s financial stability, with a focus on non-bank financial institutions (NBFIs), sovereign debt dynamics in advanced economies and banking sector funding resilience. Despite a rapid recovery in global risk sentiment following volatility in early 2025, underlying vulnerabilities persist, including elevated leverage and liquidity mismatches in parts of the global NBFI sector, rising so

Australia’s mining industry remains a central pillar of the national economy. The sector contributes around 13–14% of nominal GDP, over 60% of total merchandise exports, and more than $450 billion in annual export earnings during the 2023-2025 period. The sector has transitioned from the extraordinary commodity price conditions of the early 2020s toward a more normalised operating environment, characterised by easing prices for energy transition minerals, resilient demand for