The Urban Developer
AdvertiseEventsWebinarsUrbanity
Industry Excellence
Urban Leader
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
Urban Leader Awards Logos RGB White
NOMINATIONS CLOSING TONIGHT FINAL CHANCE TO GET RECOGNISED FOR YOUR WORK
NOMINATIONS CLOSING TONIGHT | URBAN LEADER AWARDS
NOMINATE NOWDETAILS
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
print
Print
ResidentialDinah Lewis BoucherWed 03 Jun 20

Australia Enters First Recession in 29 Years

dc817d3c-753f-444d-8f16-8308fb48e5bb

Australia has entered its first recession in almost three decades, following the bushfires and the onset of the coronavirus crisis shutdown taking a toll on the nation's economy.

Treasurer Josh Frydenberg said Australia’s economy shrunk by 0.3 per cent in the March quarter, with the ABS noting that the figures only captured the beginning of the health crisis.

The June quarter is forecast to be much worse, as Treasury expects June to show the economy experiencing the full impact of the Covid related restrictions.

In economic terms, a recession is two consecutive negative quarters in which a nation’s GDP falls.

“In response to this 1 in 100 year global event, we put in place a series of health measures that have hit the economy hard,” Frydenberg said on Wednesday.

Over the past 12 months Frydenberg said the economy grew 1.4 per cent, the figures show it reflects the weakest performance since the 2009 global financial crisis.

▲ ABS figures show GDP dropped by 0.3 per cent in the quarter, but the impact of Covid-19 will be more clearly seen in the next quarter figures.


Building approvals fall in April

The residential construction sector faces a big headwind from a significant drop in net overseas migration, with a government stimulus package now announced.

The latest ABS figures show dwelling approvals fared better than expected in April, although building approvals data is not expected to reflect the Covid-19 impact until August.

HIA chief economist Tim Reardon says the building approvals data released on Wednesday relates to projects lodged with local councils well before the impact of the pandemic.

Total dwellings approved dropped 1.8 per cent in the month of April, driven by an 8.9 per cent drop in approvals for private attached dwellings such as apartments, townhouses and semi-attached homes.

House approvals increased 2.7 per cent in April.

“All states recorded a monthly increase in approvals with the exception of New South Wales which declined by 29.9 per cent during April driven by a fall in multi-unit approvals,” Reardon said.

ResidentialAustraliaPolicyPolicy
AUTHOR
Dinah Lewis Boucher
More articles by this author
ADVERTISEMENT
TOP STORIES
Exclusive

Precinct Proposals Bloom as Brisbane Middle-Ring Sheds its Past

Phil Bartsch
8 Min
Exclusive

Newest Land Lease Player Plots Sector Shake-Up

Taryn Paris
5 Min
Waterloo Affordable Mirvac hero
Exclusive

Affordable Housing Rules Tighten as Proposal Deluge Continues

Clare Burnett
5 Min
Exclusive

Beyond the Aerotropolis: How Airports are Turning into Cities

Taryn Paris
6 Min
Exclusive

Inside the Strategy Behind Australia’s Largest Direct Real Estate Deal

Phil Bartsch
5 Min
View All >
Sterling Global 623 Collins Street tower rendering HERO
Development

Sterling Global Greenlit for Melbourne Heritage Highrise

Leon Della Bosca
Office

‘White Knight’ Cbus Property Takes 50pc Stake in Halo Tower

Lindsay Saunders
Industrial

Melbourne Steps Out of Sydney Data Centre Shadow

Lindsay Saunders
The Victorian capital is undergoing a growth spurt in part thanks to its two biggest advantages over the Harbour City...
LATEST
Sterling Global 623 Collins Street tower rendering HERO
Development

Sterling Global Greenlit for Melbourne Heritage Highrise

Leon Della Bosca
4 Min
Office

‘White Knight’ Cbus Property Takes 50pc Stake in Halo Tower

Lindsay Saunders
3 Min
Industrial

Melbourne Steps Out of Sydney Data Centre Shadow

Lindsay Saunders
4 Min
Morris Property Group London Circuit concept HERO
Planning

Site Consolidation Bid Latest Step for ACT Office Plan

Leon Della Bosca
3 Min
View All >
ADVERTISEMENT
Article originally posted at: https://www.theurbandeveloper.com/articles/australia-enters-recession