Australian GDP Growth Highlights

In a surprising turn of events, Australia's gross domestic product (GDP) grew by 1.3% year-on-year in the fourth quarter of 2024, surpassing initial forecasts. This growth, reported by the Australian Bureau of Statistics (ABS), marks a significant moment for the country's economy.

Quarterly Growth and Economic Indicators

On a quarterly basis, the GDP saw a 0.6% increase, again exceeding expectations. This positive development follows the Reserve Bank of Australia's (RBA) decision to cut key rates for the first time since 2020, signaling a shift in monetary policy aimed at stimulating economic growth.

Contributing Factors to Growth

Katherine Keenan, ABS head of national accounts, highlighted the broad-based nature of this modest growth. "Both public and private spending have played significant roles in this quarter's economic expansion, bolstered by an increase in exports of goods and services," Keenan explained.