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IMF continues to endorses Australia’s economy

16 November 2012

The International Monetary Fund’s The 2012 IMF Article IV Staff Report and Financial Sector Assessment Program reports, released today continue its positive assessment of the country’s economy.

The IMF recognises that Australia is one of only a small handful of advanced countries to have avoided recession during the global financial crisis and continues to project a solid outlook for the Australian economy.  The Fund has reiterated its forecast of 3.25 per cent real GDP growth in Australia in 2012 and an average annual growth rate of 3.2 per cent to 2017 - faster than any major advanced economy.

“Executive Directors commended the Australian authorities for their sound and prudent macroeconomic management, which had contributed to impressive growth, low unemployment, and subdued inflation,” the IMF report said.

“They welcomed the intention to maintain budgetary surpluses over the medium term, thus strengthening fiscal buffers against future shocks and the long-term cost of population aging”.

The report recognises Australia’s financial sector as being “sound, resilient and well managed” as well as the decision to access “the opportunities offered by the growth of Asian economies”.

The IMF also notes that Australia’s financial regulatory and supervisory framework exhibits a high degree of compliance with international standards and both financial regulators (ASIC and APRA) are extremely effective and well-regarded.

The IMF publications follow extensive assessments of the Australian economy through the Article IV consultations, and of Australia's financial sector as part of the Financial Sector Assessment Program.

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