Australian economic growth slows significantly in Q3
The Australian economy, which is one of the few developed economies not to have fallen into recession like its counterparts throughout the world, has today reported a slowing in growth for the third quarter as the rise in the dollar hit export earnings and consumers were hit by higher interest rates.
Official figures revealed the economy expanded by 0.2% in the July to September, down from the 1.1% growth reported in the second quarter.
As a result, annual economic growth was 2.7%, significantly lower than the 3.3% previously reported.
Australia was the first economy to raise rates from a 50-year low as the economic downturn eased. Other major economies opted for lower interest rates to boost their economies.
Meanwhile, its jobs market remains strong with the unemployment rate currently hovering around the 5% mark.
However, Australia remains optimistic despite the stalling growth and Treasurer Wayne Swan, said “growth prospects remain strong”.