Jarrod Kerr Growth Quotations

Growth in employment this year is likely to be substantially lower than over the past year. In that sort of environment, we forecast the central bank will leave interest rates unchanged for the rest of the year.

Business credit growth had been quite weak for the last few months, so a good strong rebound in business borrowings is a positive for capital expenditure, which is needed in Australia.

Corporate spending, particularly in mining, has replaced household spending and home building as the principal driver of growth in the economy. It will also alleviate capacity constraints in the economy.

The much-needed rotation in the sources of Australia's economic growth away from consumer spending and home building is well under way.

The downside surprise on economic growth was not large enough to alter the outlook significantly.

This is a concern for Australia's growth outlook. We've been depending on better exports to take up some of the slack in the Australian economy as consumer spending cools. So far, that transition hasn't been very smooth.