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Data Alert: Australia’s growth remains highest amongst major advanced economies

15 October 2012

The International Monetary Fund’s (IMF) October 2012 World Economic Outlook (WEO) has reaffirmed the strength and resilience of Australia’s economy. This has been underpinned by solid GDP growth, low unemployment, benign inflation, sound public finances and a strong pipeline of investment in resources. The Australian economy, estimated at around US$1.5 trillion, has also surpassed Spain to become the 12th largest economy in the world and remains fourth largest in the Asia-Pacific region after China, Japan and India.

While the economic outlook for the Asian region remains positive, the IMF noted the global recovery has also recently suffered new setbacks. It cited the deepening crisis across the Euro Zone and weakness in major advanced economies as a whole, as factors that have contributed to more moderate growth in emerging economies. The IMF also revised down its global growth forecasts, with the total output expected to expand by 3.3 per cent in 2012 and 3.6 per cent not 3.5 per cent and 3.9 per cent respectively, as noted in its July WEO update.

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