Wed. Jan 26th, 2022

Australian Gross domestic product (GDP) fell 1.9 percent in seasonally adjusted terms in the September quarter of 2021, which is the third largest quarterly decline since records began in 1959.

Despite the decline, the decline is broadly better than market expectations and covers the period when large parts of Australia were locked down as part of Delta strain COVID-19 restrictions.

The largest decline ever came in the June quarter of 2020, when GDP fell by 6.8 per cent.

The second largest dive was in the June quarter of 1974, when the country’s economy fell by 2.0 per cent.

On an annual basis, Australia’s GDP is still rising by 3.9 per cent.

Acting Head of National Accounts at the Australian Bureau of Statistics Sean Crick said lockdowns saw household spending fall dramatically.

“Domestic demand drove the decline, with prolonged shutdowns across NSW, Victoria and ACT, resulting in a significant decline in household consumption. The decline in domestic demand was only partially offset by the growth in net trade and public sector spending,” he said. Mr. Crick.

“GDP in the September quarter of 2021 was 0.2 percent below the pre-pandemic level in the December quarter of 2019.”

GDP is often used as an indicator – but not a concrete rule – for how a nation’s economy performs. (Getty)

For Australia to be technically considered in a recession, it must have two consecutive quarters of negative GDP growth.

In the previous quarter, the country’s economy grew by 0.7 per cent.

GDP is the total market value of all finished goods and services produced within a country’s borders.

It is a general indicator of the health or trajectory of a nation’s economy.

10. South Korea

The most vaccinated countries on Earth

Leave a Reply

Your email address will not be published.