Banking, real estate sectors drive Australian shares higher ahead of budget unveil

March 25 (Reuters) - Australian shares rose on Tuesday, aided by a rise in banking and real estate stocks ahead of the government's general budget announcement later in the day, while markets also await local inflation print for February on Wednesday.

The S&P/ASX 200 index advanced 0.6% to 7,981.7 points by 2337 GMT. The benchmark edged up 0.07% at close on Monday.

The Australian government on Sunday announced pre-budget measures including extended electricity rebates for households until the end of 2025, costing A$1.8 billion ($1.13 billion) to the budget bottom line.

The country is set to deliver a budget deficit on Tuesday, snapping two rare years of surpluses, which would also be taken into consideration by the Reserve Bank of Australia's (RBA) policymakers along with the inflation data due on Wednesday.

The RBA is set to meet next on March 31 for two days, with investors not fully pricing in another rate cut until July.

Financial stocks, which thrive in a high-interest rate environment, rose 1% and led gains on the benchmark.

The "Big Four" banks advanced between 0.9% and 1.2%.

Adding to gains on the benchmark, real estate stocks and technology stocks rose 1.1% and 1.5% respectively.

Local miners were largely flat, with mining heavyweights Rio Tinto and Fortescue remaining largely flat, while BHP Group slipped 0.2%.

The consumer staples sub-index fell 0.4% in a second consecutive session of losses, as investors locked in profits following last week's rally, which was triggered by a regulatory investigation that largely cleared the chains of price-gouging allegations.

Supermarket giants Coles and Woolworths lost 0.1% and 0.3% respectively.

Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50 index rose 0.6% to 12,205.50 points. ($1 = 1.5916 Australian dollars) (Reporting by Shivangi Lahiri in Bengaluru; Editing by Alan Barona)