Softened Growth in December Quarter Sparks Concerns About Australia’s Economic Health

Pedestrians move past a woman sitting on the George Street sidewalk in Sydney, Australia, on Oct. 18, 2022. Lisa Maree Williams/Getty Images

The drop in economic growth in the December 2022 quarter has raised concerns about Australia’s economic outlook as the country continues to struggle with high inflation and interest rate hikes.

In the three months to December 2022, Australia’s GDP (gross domestic product) grew by 0.5 percent, taking the annual growth to 2.7 percent.