Growth in the economy of 0.4 per cent through the September quarter is “very promising”, Treasurer Jim Chalmers has said, as he brushed off concerns the growth may be too sluggish.
“The reason why the quarterly figure was a couple of clicks south of what the market expected is because they have revised up now the quarter before that, and also because of the impact of what’s called inventories, particularly when it comes to coal and gold,” Chalmers told the ABC this afternoon.
Treasurer Jim Chalmers.Credit: Kate Geraghty
“Overwhelmingly, these are very positive, very promising numbers, and the main reason for that, the big story behind these numbers, is the resurgence in private investment, whether it’s new business investment or investment in housing. Really, the standout conclusions from these national accounts is the way that the private sector is growing, really quite strongly, and that’s driving growth in the quarter and through the year.”
Private investment was the driving force of growth in the quarter. The Australian Bureau of Statistics showed growth had lifted to 2.1 per cent over the past year.
Read more from our senior economics correspondent Shane Wright here.