Australia is quickly drying out after three years of wet weather, with much of the east coast at increased risk of spring bushfires and an early start to the danger period.

The nation's fire chiefs have released the fire outlook for the season ahead, showing large swathes of the Northern Territory, Queensland and NSW, and some regions in Victoria and South Australia could soon be feeling the heat.

A primary threat is fast-moving grassfires, with three years of relatively wet La Nina conditions fuelling incredible growth across the country.

But there's also real concern for bushland that didn't burn in the devastating Black Summer fires of 2019 and 2020.

NSW Rural Fire Service Commissioner Rob Rogers says firefighters are braced for a difficult fire season, and a spring of above average fire potential that extends north to the Queensland border, to areas south of Sydney, and out west including the Blue Mountains.

He says parts of the state are covered in incredibly dense grass that's a metre tall and ready to burn.

"There's also a strip along the coast both in the north, and in the far south coast in Bega - areas that didn't burn in 2019/20. All of those areas we're quite concerned about," he told reporters on Wednesday.

"While it's correct that we're not as dry as we were in 2019/20, some areas in the north and the south, on the coastal areas, are already staring to experience drought conditions."

It's a similar situation for much of Queensland from the border northwards almost to Cairns and extending into the west, as well as in central parts of the Northern Territory and south of Darwin where years of good rain has sent invasive gamba grass into overdrive.

Queensland Fire and Emergency Services Commissioner Greg Leach says fuel loads are high across the state and that's drying out with below average rainfall in the past six months.

"We have seen some quite significant fire behaviour for this time of year, with some of the fires across the southern and western Downs over the last few weeks. Now is the time to prepare your bushfire plan."

In the Northern Territory, authorities are confident that early season burning has created enough fire scars in the landscape to protect gamba grass areas south of Darwin, and north of Katherine.

But Fire and Emergency Services Deputy Chief Commissioner Stephen Sewell had a blunt warning: "Don't rely on rural or remote areas to have adequate services to come to your aid. Everyone in the territory needs a survival plan."

Victorians have been told to expect a warmer and drier than average spring, and that means a heightened risk of fires and a possible early start to the danger period. There's particular concern for Gippsland, which is drying out quickly, along with the Mallee region in the north west.

The Bureau of Meteorology says spring will bring drier and warmer conditions across Australia, with a chance of unusually warm conditions for most regions, and unusually dry conditions for some including south and eastern Australia.

"This spring will be conducive to weather systems which can rapidly dry vegetation and this means fire dangers can escalate over a short period of time," the bureau's Dr Naomi Benger told reporters.

But she says the country is nowhere near as dry as it was leading into the Black Summer fires, which were preceded by two to three years of drought conditions.

Even so, authorities say it doesn't take Black Summer conditions for the danger to be real and present, and the message for all Australia is clear: prepare now.

"We need the community to do their part and make sure they plan for their survival, knowing whether they are going to stay and defend, or whether they are going to leave. And if they are going to leave, where are they going to go? Make sure all members of your family understand that," Commissioner Rogers says.

The bushfire outlook is produced by the Australasian Fire and Emergency Services Authorities Council, which represents the nation's fire and emergency services. It draws on weather bureau and other expertise to create a national snapshot of risk.

© AAP 2023

Australia is expected to narrowly avoid a recession in the next year, despite higher interest rates and global economic pressures.

The prediction within federal government ranks comes as cost pressures start to squeeze businesses.

The latest CreditorWatch business risk index for July found the average value of business invoices had fallen by 28 per cent over the past 12 months.

Businesses are ordering less each month, leading to a fall in revenues along the supply chain.

Other key business indicators, including trade payment defaults, credit inquiries, external administrations and court actions, have also deteriorated in the latest report.

Despite the pressures on business, government sources told AAP a recession - which in technical terms is two consecutive quarters of negative economic growth - is not highly likely.

The GDP profile over the next 12 months was for small positives, the sources said, despite the lag effect of a series of interest rate rises by the Reserve Bank and problems in China - Australia's largest trade partner.

"I think the softening of the Chinese economy is a substantial risk to the global economy," Treasurer Jim Chalmers told reporters in Sydney on Wednesday.

He said the global economy was in a tug-of-war between resilience and risk.

"On the resilience side, the American economy has held up especially well - the banking system has held up better than many expected and inflation is moderating," Mr Chalmers said.

"But there are risks as well. Some of those are geopolitical, Russia and Ukraine.

"Core inflation is more persistent in some parts of the world."

Australia's unemployment is still expected to rise from its current 3.7 per cent, but not show a major blowout.

As some economists still consider a recession a distinct possibility, the five areas the government is most closely watching are inflation, consumption, the labour market, exports and migration.

Inflation is starting to moderate, consumption is easing as interest rates bite, the labour market is proving resilient, exports are strong despite prices coming off, and migration has been a positive.

However, there is patchiness in the domestic economy.

CreditorWatch found business-to-business trade payment defaults were up 86 per cent year-on-year, while external administrations rose 10 per cent over the year.

"It will be the industries most exposed to consumer discretionary spending such as hospitality and retail that will experience the toughest conditions across the second half of this year," CEO Patrick Coghlan said.

The organisation's data backed in the Reserve Bank's forecast of a slowing in economic growth over the second half of 2023.

The RBA forecasts GDP to slow to 0.9 per cent over the year to December, down from 1.6 per cent over the year to June.

"Household consumption has already slowed considerably, with the slowdown expected to worsen as more households come off fixed-rate home loans," CreditorWatch chief economist Anneke Thompson said.

Household consumption is expected to have grown by 1.6 per cent to June, with 1.3 per cent expected for the year to December.

The research showed variations in businesses at risk across the country.

Areas with an older median age presented the lowest risk of business insolvency, because the businesses were likely to have lower debt levels and more established income streams.

Areas with the highest risk of insolvency not only tend to have younger populations, but also business profiles that are more strongly weighted to construction, tourism and retail trade.

On the upside, CreditorWatch said population growth continued to have a positive impact on the economy, especially in driving demand for education, health and professional services.

© AAP 2023

China's softening economy is being closely watched for its impact on Australian business and consumers.

Treasurer Jim Chalmers rates China as the key global factor in his sights, as he prepares to release the latest Intergenerational Report.

"The softening of the Chinese economy, I think, is one of the risks that certainly we're most attentive to and that the global economy is watching most closely," Dr Chalmers told reporters in Sydney on Wednesday.

He said the global economy was in a tug-of-war between resilience and risk.

"On the resilience side, the American economy has held up especially well - the banking system has held up better than many expected and inflation is moderating," Dr Chalmers said.

"But there are risks as well. Some of those are geopolitical, Russia and Ukraine.

"Core inflation is more persistent in some parts of the world."

Senior government sources believe the global headwinds won't be enough to drive Australia into a recession in the coming year.

The GDP profile over the next 12 months was for small positives, the sources said, despite the lag effect of a series of interest rate rises by the Reserve Bank and China's woes.

Dr Chalmers said the Intergenerational Report would help Australians understand where the country is heading.

"And how we position ourselves to make our people the major beneficiaries of change, rather than victims of that change," he said.

"The IGR is all about how we maximise our advantages."

Beyond the global factors, the government is most closely watching inflation, consumption, the labour market, exports and migration.

Inflation is starting to moderate, consumption is easing as interest rates bite, the labour market is proving resilient, exports are strong despite prices coming off, and migration has been a positive.

However, there is patchiness in the domestic economy.

The RBA forecasts GDP to slow to 0.9 per cent over the year to December, down from 1.6 per cent over the year to June.

"Household consumption has already slowed considerably, with the slowdown expected to worsen as more households come off fixed-rate home loans," CreditorWatch chief economist Anneke Thompson said.

On the upside, CreditorWatch said population growth continued to have a positive impact on the economy, especially in driving demand for education, health and professional services.

Shadow treasurer Angus Taylor said the government had dropped the ball on inflation and could make it worse through policy changes.

"The (industrial relations) changes that they've brought forward are the wrong thing for the time," Mr Taylor told reporters in Ipswich.

"They haven't delivered on the $275 electricity price reduction that they promised ... and we don't need to see more red tape for businesses."

© AAP 2023

Popular musicians Gordi, Mama Kin and Fred Leone will help lead a government body tasked with revitalising Australia's music industry.

Funded by the federal government with $69 million over the next four years, Music Australia is aimed at encouraging original music and growing the market for Australian songs.

"It's essential that Australian musicians and industry experts themselves have a seat at the table - and that's what these appointments will achieve," Arts Minister Tony Burke said.

Music Australia should be up and running by the end of the week and is part of a $286 million national cultural policy announced in January.

Among its key challenges will be improving the visibility of local content in a market flooded with global hits from music streamers such as Spotify.

It will also tackle a lack of access to live music venues for local bands and solo artists up against big name performers and touring operations.

Music Australia has also been tasked with creating community music hubs, delivering songwriting initiatives in schools and supporting performers to improve their business skills.

The performers take up three of nine seats on the Music Australia council, which will be chaired by Creative Australia chief executive Adrian Collette and includes music promoter Michael Chugg.

Industry peak body APRA AMCOS has welcomed the appointments.

"The establishment of Music Australia is a landmark moment for Australia's music industry," said chief executive Dean Ormston.

"It represents the first time in the nation's history that we have had a long-term commitment from government to work in partnership with industry to make Australia a music powerhouse."

Export initiative Sounds Australia will also develop international markets for the nation's talent, while an organisation for creative workers will aim to improve workplace conditions.

In 2022, a large-scale independent review concluded harassment, sexualised harm and bullying are rife in the Australian music industry.

More than half those working in the music trade have experienced sexual harassment or harm at work, according to the Raising Their Voices report.

© AAP 2023