Economics

Australia Economy Set for Rapid Recovery After Exiting Recession

  • Lowe says jobless rate needs to be below 5% to hit CPI goal
  • Household spending jump adds 4 percentage points to GDP growth
Photographer: Carla Gottgens/Bloomberg
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Australia’s recovery is poised to accelerate as cashed up households -- joined by Victorians released from Covid-19 lockdown -- fuel a spending boom, after the economy exited its first recession in three decades.

Gross domestic product advanced 3.3% in the three months through September, exceeding estimates, as consumption surged by the most in the 60-year history of the report, the Australian Bureau of Statistics said in Sydney Wednesday. The rebound came after the economy contracted 7% in the second quarter.