Agreement of the States and Territories Sought for GST ImprovementsSeptember 14, 2000
Melbourne Oil Refinery BlockadeSeptember 26, 2000
9.00pm (AEDST), Tuesday 19 September
IMF forecasts strong Growth for Australia
In its latest World Economic Outlook (WEO), the IMF is forecasting continued
strong growth for the Australian economy.
The IMF expects the Australian economy to grow by 4.0 per cent in 2000,
and 3.4 per cent in 2001.
A stronger contribution from net exports is expected to be supported
by higher world growth, the lower exchange rate and higher commodity prices.
The rebalancing of demand from domestic to external sources and the recovery
in commodity prices is expected to result in a lowering of Australias
current account deficit as a proportion of GDP.
The IMF notes that Australia has the second highest level of expenditure
(as a percentage of GDP) on Information and Communication Technology amongst
the Advanced Economies. Australias rapid adoption of new technology is
improving the productivity, efficiency and competitiveness of Australian
companies. Indeed, in its discussion of the extent to which the new economy
has contributed to the growth in US productivity, the IMF note that Australia
is one of the faster growing advanced economies and has achieved higher
productivity growth than the US since 1996.
World economic activity in 2000 is expected to remain very robust. Contributing
to the strong performance in 2000 is the strength of activity in the United
States, a solid European recovery and continued improvement in Japan.
World growth is expected to decline over the course of 2001, reflecting
an expected easing in the United States economy from above potential growth
rates, while the expansions in Europe and Japan are maintained at a solid
19 September 2000