Moody's affirms Australia's AAA rating

"This decision by Moody's reflects the Albanese Labor Government's focus on quality spending to generate broader, more inclusive and more sustainable economic growth," he said in a statement.

Moody's cited productivity-enhancing reforms to boost women's participation in the work force including support for child care and gender pay equity, investment in skills and training, infrastructure, innovation and cleaner and cheaper energy.

Mr Chalmers said the government would continue to work hard to implement its economic plan in order to address the serious challenges it had inherited – including high and rising inflation, rising interest rates, falling real wages and "a Budget heaving with a trillion dollars of Liberal debt".