Australia: 2010 Article IV Consultation: Staff Report; and Public Information Notice on the Executive Board Discussion
IMF Staff Country Reports, October 28, 2010
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- Australia: 2010 Article IV Consultation: Staff Report; and Public Information Notice on the Executive Board Discussion
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Bibliographic details
- Published: October 28, 2010
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781455208333.002
Overview of economic impact and resilience
- The impact of the global crisis was milder in Australia than in other advanced economies owing to strong demand from Asia and decisive policy responses.
- Australian banks were resilient to the global crisis.
- The labor market was flexible in the face of the shock.
Fiscal and tax policy assessment
- The exit from fiscal stimulus is appropriate.
- The recent review of the tax system is appropriate.
Financial sector risks and vigilance
- Banks could adopt riskier strategies and require vigilance.
Exchange rate and external conditions
- The exchange rate is overvalued but will dissipate as interest rates in other advanced economies eventually normalize.
Subjects and keywords (as listed)
- Subjects: Balance of payments, Banking, Commodity prices, Current account deficits, External debt, International trade, Prices, Public debt, Terms of trade
- Keywords: Asia and Pacific, Australia's terms of trade, commodity export, Commodity prices, cost of capital, CR, Current account deficits, exchange rate, executive board assessment, Global, ISCR, monetary policy, policy stimulus, rate, Terms of trade, timely unwinding