“The weak GDP data out today reconfirms that while our economy is slowing due to local and global factors, it is still expanding, and with growth stronger in the second half of 2018-19 than in the previous six months, there are signs we may have passed the trough,” Ai Group Chief Executive, Innes Willox said today.
“Growth is currently supported by good population numbers, excellent export earnings, household consumption and government spending. With these fundamentals in place, we can build from here.
“Looking ahead, the biggest challenge for the national economy is improving our domestic income growth, sustaining employment growth and ensuring the associated opportunities are widely distributed – including across our cities, smaller centres and regions.
“To achieve this, we need stronger long-term productivity growth. This requires getting the settings right for a lift in business investment; greater investment in infrastructure; developing the skills of the current and future workforce; building business capabilities and innovation; continuing to work on expending trade opportunities; improved workplace relations arrangements; and a reduction in unnecessary regulatory burdens.
“The economy has had a tough year and with a range of domestic and global risks in the mix, there is a clear need to rebuild in key areas,” Mr Willox said.