Australia’s economy grew at a pace of 1.1 percent in the third quarter, pushing the country into its 25th year without recession.
The economy contracted slightly in the third quarter, with the 1.1 percent figure a welcome increase on the surprise negative result in the September quarter. The overall rate of growth for the year now stands at 2.4 percent.
Strong exports and higher than expected consumer spending drove the positive figure, alongside a pick up in mining and agriculture in the three months to December.
Australia’s treasurer, Scott Morrison, warned that “weak wages growth” was weighing on the economy, but added that the result was a success:
“[The result] confirms the successful change that is taking place in our economy as we move from the largest resources investment boom in our history to broader-based growth,” he said.
Australia’s resource-rich economy has now reached 25 years without sinking into recession, despite reduced demand from China dampening growth over the last couple of quarters.
