Federal Treasurer Jim Chalmers is expected to reveal at least $1.2 billion in damages from ex-Cyclone Alfred during his pre-budget speech tomorrow.

The effects of the tropical storm are likely to quicken inflation due to substantial losses to crops and businesses.

While the storm was still ongoing, AMP chief economist Shane Oliver spoke to ABC’s The Business.

“Roughly speaking, for every day that activity is disrupted there, you could see an up to $1 billion hit to the economy,” he said.

The federal government has worked with the states to provide $30 million in immediate recovery costs for repairs and disaster payment schemes.

At least 44,000 insurance claims have been lodged, with more expected in the coming weeks.

Many Australians are still feeling the effects of the tropical storm, with internet services still down across southeast Queensland and northern NSW.

The pre-budget announcement will be made at the Queensland Media Club in Brisbane tomorrow, one week before the federal budget is announced next Tuesday, 25 March.

Photo: By M Chan found HERE and used under a Creative Commons license. This image has not been modified.