Economic Growth in Australia
According to recent reports, Australia is showing signs of economic growth, with low interest rates and increasing productivity, we are moving towards a growth period. Substantial and rapid increase in the level of exports and mining, not to mention a rise in the housing market, have all made the Australian economy stronger. While the economy is showing good signs Australian economists are concerned about the level of international investment Australia is attracting.
The job market is at an all-time high with reduced interest rates, allowing for employment to increase in areas like housing, construction, retail and real estate. One of Australia’s most populated states, New South Wales, is showing strong signs in real estate and housing and is also receiving considerable foreign investment in housing and commercial real estate.
The Main Contributors towards a Healthy Australian Economy
The three main areas contributing to economic growth in Australia are mining activity, financial insurance, and construction. Earlier this year, in March, it was reported that there was a 0.8% increase in the gross domestic income by 0.8% while there was an overall 1.1% increase in the nation’s gross domestic product.
There was a 1.2% decline in seasonally balanced national trade in the opening months of this year, an increment of 1% from last December. Overall, there has been a reduction in the terms of trade by 3.8% in the last 12 months. In the first quarter, it was reported that the real net national disposable income increased by 1.3%. It was also discovered that Australia’s household saving ratios totalled 9.7% in this year’s first quarter, which is quite impressive.
The trend estimation of Australia’s household saving ratio remains stagnant and is expected to grow throughout the year compared with last year’s household ratio which amounted to a mere 3.5%. The bottom-line is that Australia’s economic growth is on a steady rise, and it is the best place for foreign direct investment in sectors like mining and real estate.
ALC Commercial is here to help Australian businesses capitalise on a healthy economy. If you are a business owner and need fast financing call ALC Commercial today on 1300 886 996 or enquire online for private funding.