Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Hansard source

I thank Senator Farrell for that question. The September quarter national accounts released today show that GDP growth increased by 0.1 per cent in the September quarter to be 1.9 per cent higher over the year. This is a positive outcome for Australia in the context of a global recession. As I have attempted to point out to those opposite on numerous occasions, we need to put these figures into perspective. In other words, and particularly for the benefit of those opposite, we need to compare these figures with what is going on in other countries during this difficult period. Let me repeat again—because I have read out the specific figures before: the US, the UK, Germany, Italy, Spain, Japan, Singapore and Hong Kong all recorded negative growth in the three months to September. And two-thirds of OECD economies are expected to contract in 2009. So, while most countries are contracting, our economy continues to grow.

Australian households are pulling back on their spending in the face of the global financial crisis. Household consumption increased by just 0.1 per cent in the September quarter as households continue to rebuild their savings. Businesses are continuing to invest in our economy. New business investment rose by a solid 1.8 per cent in the quarter and is 12.5 per cent higher over the year. Let me stress that point in particular. (Time expired)