Australia Experiences An Economic Growth Of 3.3% Recovering From The Coronavirus Recession
Australia has witnessed a surprising 3.3% growth in its economy in the third quarter recovering from the recession generated due to the worldwide pandemic. According to the expert reports, this is the country’s biggest recession in almost three decades.
According to what the treasurer Josh Frydenberg revealed to the reporters, the country is currently in a position to recover from the economic damage caused by the Coronavirus.
He further explained, ‘Australia’s recession may be over, but Australia’s economic recovery is not.’
Even though the country has experienced a quarterly rise, the annual growth of the economy has contracted at a 3.8% pace. The GDP of the country has previously fallen by 0.3% in the first quarter and again as high as 7% in the second quarter.
Frydenberg said to the press that the Australian economy has shown ‘remarkable resilience’ and the country is in a better position compared to other nations in the world. He said, ‘Today’s national accounts represent a major step forward in Australia’s economic recovery.’
Before the pandemic hit the entire world, Australia has not experienced a recession in almost 28 years. Even when the whole world was suffering from a financial crisis, the country stood strong with its mineral exports and a strong domestic sector.
The economists are calling these figures extremely encouraging for the country’s economy.
Ben Udy from Capital Economics said, ‘The rebound in Q3 GDP reversed around 40% of the decline during the first half of the year and we expect output to return to pre-virus levels by mid-2021’
During the pandemic situation, Australia is facing a difficult situation with its biggest trading partner that is China.
Frydenberg called the difficult situation between China and Australia as ‘very serious’ and assured that the Australian government is focusing on building a connection with other nations in Asia and other regions.
He explained that Australia has great produce, services, and resource sectors. He said he was positive about the future opportunities of the exporters in the country on a global scale.
The relationship between the two countries went downhill recently after a fake image of a grinning Australian soldier holding a bloodied knife to a child’s throat was Tweeted by a Chinese official.
Even after the Australian Prime Minister Scott Morrison demanded an official apology from the Chinese government for what he thought was ‘repugnant’, China refused to do so.
The post hinted at the alleged violence in Afghanistan by the elite Australian soldiers at the time of conflict there.
The conflict between the countries began earlier this year when the Australian government decided to call an independent inquiry to find out the source of the COVID-19. After that China has taken steps to enforce taxes and other restrictions on different Australian exports.
I am Darryl Broadhurst and i give investors an insight into the most recent news hitting the “Technology” sector in Wall Street. I have been an independent financial adviser for over 11 years in the city and in recent years turned my experience in finance and passion for journalism into a full time role. I perform analysis of Companies and publicizes valuable information for shareholder community.
