RBA: the pace of economic recovery in Australia may be slower than previously expected

Sydney, August 7, the Australian central bank issued a quarterly monetary policy statement on August 7, saying that the pace of economic recovery in Australia may be slower than previously expected due to the uncertainty and insufficient demand caused by the new crown epidemic. The Central Bank of Australia said that the outbreak has had a huge impact on the global economy, and the Australian economy has also experienced severe contraction, which is currently in the early stage of recovery. Although Australia’s economy shrank less than expected in the first half of this year, the widespread uncertainty and insufficient demand drag on the economy more than previously thought, and the pace of economic recovery may be slower than previously predicted. The RBA said the further spread of the epidemic and related prevention and control measures are the main risks to future economic growth. In addition, the continued impact of uncertainty and declining confidence on household expenditure, enterprise recruitment and investment plans should also be considered. < p > < p > the RBA has predicted the economic prospects according to three different scenarios. Under the benchmark scenario, Australia’s economy will shrink by 6% in 2020, and the unemployment rate will reach a peak of about 10% by the end of the year, and gradually drop to about 7%. If the country can contain the epidemic more quickly in the short term, it is expected to achieve a stronger economic recovery, and the unemployment rate will not reach the peak value of 10% and the decline speed will be faster; if the global epidemic continues to spread, and some parts of Australia will be affected Facing the threat of a new round of epidemic situation and strengthening prevention and control measures, the domestic economy will need a longer time to recover, and the unemployment rate will remain close to the peak level in 2021.