The statistics of the Australian Bureau of Statistics have revealed that Australia has created the record for being the economy with longest unhindered growth in the developed economies, of having the longest recession-free economy, as quoted by the SMH.
Speaking on this occasion, Treasurer of Australia Scott Morrison has said that these statistics demonstrate the strong nature of Australia’s economy. He elaborated that GDP grew by 0.3% in the first quarter of 2017 that satisfied the expectations of the economists and Australia moved ahead of Netherlands to create this record. 103 quarters have now elapsed since the economy of Australia witnessed recession in technical terms, which is having two successive quarters of negative growth.
Morrison further elaborated that an entire generation of citizens in Australia have attained youth unaware of recession. It is a remarkable accomplishment nevertheless it cannot be taken for granted, added the Australian Treasurer.
Craig James Chief Economist of Commsec said that the record growth of the nation is on the right track. Particularly, the growths of business sectors and conditions of businesses have been excellent in the last nine years, added James.
The robust economy of Australia has defied the predictions of a section of economy analysts who had estimated that receding exports, government contributions, and Debbie Cyclone could result in a negative quarter for the economy. The growth of GDP in this quarter has resulted owing to increase in expenditure of households that contributed 0.3% points to it and 0.2% point’s contribution from government consumption.
New South Wales had an increase of 0.7% points in dwelling investment in the past quarter. Victoria also witnessed a similar increase in investment for housing. Services in water, gas, waste, and electricity grew by 3.1% in the first quarter of 2017, which was the largest increase since 2009. Agriculture sector had its strongest growth record and grew by 5.6% points.
Transportation sector also had a strong 2% increase in the last quarter which was its highest quarterly rise since 2013. The Treasurer of Australia said that the national budget has revised its estimates for GDP and forecast for GDP growth will be closely assessed for every two successive quarters. He also reaffirmed that Australian economy will witness an increase in GDP growth for the upcoming four years.