Australia: Staff Report for the 2005 Article IV Consultation
IMF Staff Country Reports, September 12, 2005
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- Australia: Staff Report for the 2005 Article IV Consultation
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Bibliographic details
- Published: September 12, 2005
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451802085.002
Executive summary and outlook
- Australia has implemented wide-ranging structural reforms and strengthened the frameworks for monetary and fiscal policies over the past two decades.
- Australia’s economic expansion is now in its 14th year.
- Growth averaged 3¾ percent, driven by a combination of strong job creation and high productivity growth.
- Growth is expected to rise from 2¼ percent in 2005 to about 3½ percent in the medium term, conditional on continued strong productivity growth.
Key findings
- Structural reforms and stronger monetary and fiscal frameworks underpin the sustained expansion.
- Labor market developments and productivity gains are central contributors to average growth of 3¾ percent.
- The medium-term projection of about 3½ percent growth hinges on maintaining strong productivity growth.
Policy implications and priorities
- Continue policies that support productivity growth to achieve the projected rise from 2¼ percent in 2005 to about 3½ percent in the medium term.
- Maintain robust monetary and fiscal frameworks built over the past two decades to preserve macroeconomic stability alongside reform efforts.