2 Sep 2009

Australian economy grows more than forecast

9:01 pm on 2 September 2009

The Australian economy grew by more than expected in the second quarter of 2009, boosted by increases in household consumption and business investment.

The economy expanded by 0.6% in the three months to June from the previous quarter, the government said.

Analysts had forecast growth of 0.2% after a sharp drop in export prices was announced earlier in the week, the BBC reports.

The government has announced stimulus measures of more than $A70 million in the past year.

Australia is one of the few developed countries to have avoided falling into a recession.