Mental Health and Aging in Australia and New Zealand: A Growing Concern

Australia: Mounting Demographic and Mental Health Pressures
Australia is facing a demographic shift of significant magnitude: the number of people aged 70 and over is projected to rise from about 3 million to 5.5 million over the next two decades, straining infrastructure and care systems.
 What's more, the 85-plus cohort is expected to surge around 2032—akin to a “freight train” in its impact—and will sharply increase the demand for aged care, mental health support, and housing.The Australian.
Mental health services for older Australians are already under pressure. Nearly 87% of residents in aged-care facilities have a diagnosed mental health or behavioral condition, and almost 49% are diagnosed with depression 
 Among older adults receiving home?care packages, 23% have recorded mental health conditions 
 Suicide rates among those in home care (22.5 per 100,000) also outpace those in residential care or the general elderly population(aihw.gov.au).
Additionally, dementia poses a growing crisis: cases are projected to rise from 376,000 in 2018 to 550,000 by 2030, and nearly 900,000 by 2050. The associated costs may reach AUD 33.6 billion by then (Wikipedia).
Loneliness and social isolation further exacerbate the risk of mental illness, dementia, and poor physical health, highlighting the need for stronger social support networks .
New Zealand: Aging, Isolation, and Gaps in Specialized Care
In New Zealand, loneliness is a critical driver of mental health challenges. Among older adults, over 20% report feeling lonely—a factor found to greatly increase the likelihood of depression, social anxiety, and chronic pain. Living alone, social deprivation, and caregiver stress all boost the odds of entering aged care.(Wikipedia)
A severe shortage of psychiatrists compounds the issue. The country has only 15 psychiatrists per 100,000 people, compared to 20 per 100,000 in Australia and the UK. With many poised to retire, and only 40–50 new trainees per year—which isn’t sufficient to replace them—New Zealand is facing a stark deficit in mental health professionals 
While details about specific prevalence among older adults in New Zealand are less extensive, the global trend of low mental health service utilization in older populations—driven by stigma, normalization of depression as a part of aging, and lack of targeted services—is likely relevant here  well. 
Summary Table
Country                   Aging Trend                                     Key Mental Health Issues                                                              Systemic Challenges
Australia  Rapid ageing, 85+ surge by 2030s   High depression in aged care, rising dementia                                Workforce shortages, high isolation
New Zealand   Growing elderly population                    Loneliness, limited psychiatrist availability                                Understaffed mental health system, stigma