01 Sep Australian GDP slowed in the June quarter & will be hit hard by the lockdowns
Key Points:
- Australian GDP growth slowed in the June quarter but to a stronger than expected +0.7%qoq. This avoids a technical recession, but the current quarter is likely to see a 4% slump due to the lockdowns.
- While there is lots of gloom around there remains strong reason for optimism regarding economic growth in 2022: the vaccines are effective in helping prevent serious illness; Australia’s vaccination rate has increased dramatically; pent up demand will help drive recovery; and global growth is likely to be strong.
