is next in the line of countries announcing an economic downturn. On Wednesday, The Bureau of Statistics
released figures showing the annualized GDP growth for the second quarter at only 1.4 percent – the lowest it has been since the 2008/2009 economic crisis and 2011 Queensland flood.
Even though the result was slightly better than some predictions putting it as low as 1.1 percent, fears of the country sliding into a recession were stoked by the result. Prime minister Scott Morrison was quoted saying that he “can’t see” that happening. Treasurer Josh Frydenberg mentioned that the number did not yet show major tax cuts passed in parliament recently and central bank modifying its interest rates, also as a reaction to fears of a global recession.
Both the IMF and the OECD have recently slashed their growth forecasts
. While developing economies like India and China are expected to have to deal with rather mild setbacks, established economies were forecast to experience much graver growth problems. Germany and Japan, for example were expected to post annualized growth rates of under 1 percent. Australia was forecast to experience GDP growth over 2 percent for 2019.