Australia's Economy Gaining Momentum
Today’s national accounts show that the Australian economy is gaining momentum, the Australian Chamber of Commerce and Industry said today.
“There has been a clear acceleration in growth in 2017 compared to the second half of last year,” Australian Chamber Chief Economist Adam Carr said.
“Household spending softened which shows conditions in the retail sector are still challenging. But it is heartening to see a pick-up in engineering construction and investment in plant and equipment.
“The acceleration in growth supports our belief that the labour market will continue to improve. The jobs market should remain strong, providing much-needed support to household incomes growth.
“Our expectations are that these conditions will flow into 2018. However we caution that energy costs remain a clear and present danger to business and the economy more broadly. A lack of action in key areas, like high energy costs, could destabilise this recent positive growth. We are calling on federal, state and territory governments to put the national interest first and urgently take action to bring down energy costs in the short-term.”