Sky News Political Editor aclennell says 'once you shutdown an economy, this is what you get' following news Australia had entered its first recession since 1991.
Sky News Political Editor Andrew Clennell says "once you shutdown an economy, this is what you get" following news Australia had entered its first recession since 1991. Mr Clennell pointed to a drop in household expenditure as a key factor with a 17 per cent drop in services including travel and social dining. "The concerning thing I think is, you get through this quarter and a couple of weeks into the next quarter you get the whole state of Victoria is locked down.
I know people are saying it'll be better next quarter because things have opened up but, what about the Melbourne effect? "Funnily enough, the household savings ratio is up from six per cent to 18 per cent." The Australian Bureau of Statistics revealed Australia's GDP contracted seven per cent in the June quarter, above market expectations, in what was the largest quarterly fall on record.
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Australian economy showing 'remarkable resilience' despite COVID havoc | Sky News AustraliaTreasurer Josh Frydenberg has praised the remarkable resilience of the Australian economy in the face of the COVID-19 pandemic which has 'wreaked enormous havoc across the global economy'. \n\nDuring Question Time on Tuesday, Mr Frydenberg spoke of the 'staggering' impact on GDP being experienced around the globe in the fallout of the pandemic. \n\n'In the United Kingdom, it's been around 20 per cent, in France it's been around 14 per cent,' he said.\n\n'In Germany it was 10. 1 per cent and the United States it was 9.1 per cent'. \n\nAustralia's GDP is widely predicted to take a hit in when the National Accounts for the June Quarter are released on Wednesday. \n\nHowever, Mr Frydenberg said the expectation is that the fall in Australia 'will not be as large as we've seen in other countries around the world'. \n\n'Indicating the remarkable resilience of the Australian economy,' he said. \n\nMr Frydenberg also said there have been 340,000 jobs created over the last two months in the country. \n\nImage: News Corp Australia
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'Daniel Andrews is crashing the economy': Barnaby Joyce | Sky News AustraliaNationals MP Barnaby Joyce says Victorian Premier Daniel Andrew’s is crashing the economy by enforcing harsh lockdowns throughout the state. \n\nTwenty five of Victoria’s councils have zero active cases, yet they abide by the same lockdown rules that exist in places like Melbourne.\n\n“On the 1st of July 1851 from the headwaters of the Murray to Cape Howe, for some unknown reasons, a colonial person … created the state of Victoria, an arbitrary line determined by a river,” Mr Joyce told Sky News host Paul Murray.\n\n“And now that that person is using that arbitrary line to differentiate two areas which are epidemiologically the same, that is, they have no virus.\n\n“We should have stronger regional focus, and not state focus, because the state focus is an anachronism.” \n\nImage: Getty
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Latest & Breaking News Melbourne, Victoria | The AgeThe Age has the latest local news on Melbourne, Victoria. Read National News from Australia, World News, Business News and Breaking News stories.
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Australia is the ‘canary in the mineshaft’ of Beijing’s plan to dominate | Sky News AustraliaThere is no sense at all that communist China is interested in a “relationship of equals” with Australia, according to the Australian Strategic Policy Institute’s Peter Jennings.\n\nLast week, Prime Minister Scott Morrison announced his plan to introduce broad scope powers for the federal government to tear up any deals states have engaged in with foreign powers.\n\n“(Beijing) wants subservience amongst the countries in the region,” Mr Jennings told Sky News host Alan Jones.\n\n“If you’re not prepared to do that – and of course Australians won’t – you’re going to be attacked, you’ll be coerced, and you’ll have your economy attacked.\n\n“That’s how Beijing is deciding to portray itself. Australia is being a bit of a canary in the mineshaft.”\n\nImage: AP
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Treasurer to announce Australia in first recession in three decades | Sky News AustraliaThe Treasurer is today expected to announce Australia has entered its first recession in almost three decades with an expected six per cent contraction in Gross Domestic Product during his national accounts address.\n\nJosh Frydenberg said the coronavirus pandemic swung 'a wrecking ball' through the economy but said Australia was doing better comparatively than other nations.\n\n'The impact... on GDP in the June quarter across the world has been staggering,' Mr Frydenberg said.\n\n'In the United Kingdom, it has been around 20 per cent. In France, it has been around 14 per cent.\n\n'The expectation is the fall here will not be as large as we've seen in other countries around the world indicating the remarkable resilience of the Australian economy.'\n\nThe contraction represented the worst economic downturn since records began in the 1950s - dwarfing a two per cent quarterly drop in 1974.\n\nThe Reserve Bank of Australia unsurprisingly announced yesterday it would again keep the cash rate on hold at the record low 0.25 per cent but Governor Philip Lowe confirmed another cut was unlikely for the 'forseeable future'.\n\nMeanwhile, the parliament has greenlighted the government's plan to cut Jobseeker and Jobkeeper payments beyond September when a two-tiered, revised system comes into effect through to March 2021.\n\nThe Treasurer argued it was time to begin winding back the government's high level of fiscal support, but said no Australian would be 'left in the lurch'.\n\nImage: News Corp Australia
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