Today’s email is brought to you by Empower your podcasting vision with a suite of creative solutions at your fingertips.
Australia’s economy grew 0.6% in the June quarter, rebounding from sluggish growth earlier in the year, according to figures released Wednesday by the Australian Bureau of Statistics.
Gross domestic product (GDP) rose 1.8% compared to the same quarter last year. For the 2024-25 financial year, GDP increased by 1.3%.
“Economic growth rebounded in the June quarter following subdued growth in the March quarter, which was heavily impacted by weather events,” said Tom Lay, ABS head of national accounts.
Household and government spending drove growth, while public investment was the largest drag on the economy. Net trade also supported expansion, with mining exports leading the way.
Truth matters. Quality journalism costs.
Your subscription to Mencari directly funds the investigative reporting our democracy needs. For less than a coffee per week, you enable our journalists to uncover stories that powerful interests would rather keep hidden. There is no corporate influence involved. No compromises. Just honest journalism when we need it most.
Not ready to be paid subscribe, but appreciate the newsletter ? Grab us a beer or snag the exclusive ad spot at the top of next week's newsletter.
Household spending rose 0.9% for the quarter, led by a 1.4% increase in discretionary purchases such as motor vehicles, recreation and culture goods, and furnishings. Essential spending rose 0.5%, with health leading the increase as households accessed more medical services during a strong flu season.
“End of financial year sales and new product releases contributed to rises in discretionary spending,” Lay said. He added that the timing of Easter and Anzac Day encouraged more people to extend holiday breaks, lifting spending on hotels, cafes and recreation services.
Government spending rose 1% in the quarter, reflecting higher demand for health services under Medicare and the Pharmaceutical Benefits Scheme. Spending by the Australian Electoral Commission to conduct the 2025 federal election also contributed, alongside increased defence spending from military exercises.
Public investment fell 3.9%, its largest decline since 2017 outside the COVID-19 period, with reductions in state spending on transport and health infrastructure and a fall in defence investment.
Private investment edged up 0.1%, with gains in housing and intellectual property offset by declines in non-dwelling construction, particularly renewable energy and mining projects.
Net trade added 0.1 percentage points to GDP growth. Exports of iron ore and liquefied natural gas rebounded following weather disruptions earlier in the year, while service exports rose on the back of increased short-term visitor arrivals. Imports of travel services detracted from growth as Australians spent more on long-haul holidays.
GDP per capita increased 0.2% in the June quarter, while the household saving ratio fell to 4.2% from 5.2% in March, as spending outpaced income growth.
The ABS noted that the unusual closeness of Easter and Anzac Day may have affected economic activity, with more Australians taking extended leave, though no significant statistical impact was confirmed.
Got a News Tip?
Contact our editor via Proton Mail encrypted, X Direct Message, LinkedIn, or email. You can securely message him on Signal by using his username, Miko Santos.
Sustaining Mencari Requires Your Support
Independent journalism costs money. Help us continue delivering in-depth investigations and unfiltered commentary on the world's real stories. Your financial contribution enables thorough investigative work and thoughtful analysis, all supported by a dedicated community committed to accuracy and transparency.
Subscribe today to unlock our full archive of investigative reporting and fearless analysis. Subscribing to independent media outlets represents more than just information consumption—it embodies a commitment to factual reporting.
As well as knowing you’re keeping Mencari (Australia) alive, you’ll also get:
Get breaking news AS IT HAPPENS - Gain instant access to our real-time coverage and analysis when major stories break, keeping you ahead of the curve
Unlock our COMPLETE content library - Enjoy unlimited access to every newsletter, podcast episode, and exclusive archive—all seamlessly available in your favorite podcast apps.
Join the conversation that matters - Be part of our vibrant community with full commenting privileges on all content, directly supporting The Evening Post (Australia)
Catch up on some of Mencari’s recent stories:
It only takes a minute to help us investigate fearlessly and expose lies and wrongdoing to hold power accountable. Thanks!