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flag Australia Australia: Economic and Political Outline

Economic Indicators | Foreign Trade in Figures | Sources of General Economic Information | Political Outline

Economic Indicators

Australia is the world’s thirteenth largest economic power. After a slowing down due to global recession, in 2010 the Australian economy has been growing again, with an estimated growth rate of 3 % of the GDP. This good economic performance owes to the government’s fiscal policy of incentives, by the increase in household consumption and especially by the continuous Chinese demand which helps exports.

The Australian government’s priorities are to improve the country’s competitiveness, namely with regards to the export competition of Asian countries and to deal with the challenges of its aging population and its environment which is vulnerable to climatic problems (droughts).

Australia is a prosperous country and its per capita GDP is amongst the highest in the world. Despite the recent increase in unemployment rate due to the global economic crisis, it remains consistently low, around 5%.

 
Main Indicators 2009201020112012 (e)2013 (e)
GDP (billions USD) 988.581,237.36e1,507.40e1,572.341,635.39
GDP (Constant Prices, Annual % Change) 1.42.71.8e3.33.4
GDP per Capita (USD) 45,03455,672e66,984e69,00770,888
General Government Balance (in % of GDP) -4.1-4.8-3.7e-1.8-0.3
General Government Gross Debt (in % of GDP) 16.920.522.823.823.0
Inflation Rate (%) 1.82.83.5e3.33.5
Unemployment Rate (% of the Labor Force) 5.65.25.04.84.8
Current Account (billions USD) -41.83-33.09e-32.80-73.46-88.35
Current Account (in % of GDP) -4.2-2.7-2.2-5.4-

Source: IMF - World Economic Outlook Database ; World Bank , Last Available Data

Note: (e) Estimated Data

Main Sectors of Industry

The tertiary sector occupies a dominant position in the Australian economy (more than three-fourths of the GDP), but the agricultural and mining sectors are the most important for its exports. Australia is a vast agricultural country and one of the world's main exporters of wool, meat, wheat and cotton. The country is overflowing with mineral and energy raw materials, the export of which ensures it substantial revenues. Australia is among the top 10 producers and exporters of most mineral ores. It has the world's greatest reserves of numerous strategic resources such as uranium, of which it has 40% of the world's proven reserves.

Traditionally Australia is a finished goods importer. Its industrialization is fairly recent, a fact which explains the small scale of its manufacturing sector, which only employs 10% of the active population. The manufacturing industry is built up around the food industry (approximately a fifth of the workforce), machinery and equipment (around 20%), metal processing and metal goods (nearly 20%) and the chemical-petrochemical industry (slightly more than 10%).

 
Breakdown of Economic Activity By Sector Agriculture Industry Services
Employment By Sector (in % of Total Employment) 3.3 21.1 75.5
Value Added (in % of GDP) 2.5 29.1 68.4
Value Added (Annual % Change) 6.9 3.6 4.0

Source: World Bank - Last Available Data.

 
 
Monetary Indicators 20062007200820092010
Australian Dollar (AUD) - Average Annual Exchange Rate For 1 USD 1.331.201.191.281.09

Source: World Bank - Last Available Data.

 
 
Learn more about Market Analysis about Australia on Globaltrade.net, the Directory for International Trade Services.
 

Indicator of Economic Freedom

Score:
82.5/100
Position:
Free
World Rank:
3/179
Regional Rank:
3/38

Distribution of Economic freedom in the world
Source: 2011 Index of Economic freedom, Heritage Foundation

 

Country Risk

See the Country Risk Analysis Provided By Ducroire.

 

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Foreign Trade in Figures

Australia's external trade is characterized by a structural trade deficit. The increase in exports has not compensated for the high imports which are stimulated by a strong Australian dollar. In terms of continuous growth, and despite healthy exports, the deterioration of the current account balance and of the structural deficit are still the Australian economy's weak points.
The country is becoming more and more dependent on Asian economies and the price of raw materials. Australian foreign trade is not  well developed, a fact which reflects the country's relatively weak globalization integration. Australia must improve its infrastructures in order to redress the bottlenecks that have been restricting exports for a long time, so as to allow it to better integrate in global trade. The country's main trade partners are Southeast Asia, the United States and the European Union.

 
Foreign Trade Indicators 20062007200820092010
Imports of Goods (million USD) 139,253165,336200,273165,471201,643
Exports of Goods (million USD) 123,437141,358187,257154,331212,423
Imports of Services (million USD) 31,60039,19747,61340,70049,842
Exports of Services (million USD) 32,43839,78644,51340,91147,715
Imports of Goods and Services (Annual % Change) 7.29.212.9--
Exports of Goods and Services (Annual % Change) 2.23.84.1--
Imports of Goods and Services (in % of GDP) 21.120.921.6--
Exports of Goods and Services (in % of GDP) 19.619.819.8--
Trade Balance (million USD) -9,596-17,784-4,915-4,21518,180
Trade Balance (Including Service) (million USD) -8,727-17,196-8,013-4,74715,200
Foreign Trade (in % of GDP) 40.740.741.4--

Source: WTO - World Trade Organization ; World Bank , Last Available Data

 

Main Partner Countries

Main Customers
(% of Exports)
2010
China 25.3%
Japan 18.9%
South Korea 8.9%
India 7.1%
United States 4.0%
See More Countries 35.8%
Main Suppliers
(% of Imports)
2010
China 18.7%
United States 11.1%
Japan 8.7%
Thailand 5.2%
Singapore 5.1%
See More Countries 51.2%

Source: Comtrade, Last Available Data

 

Main Products

Main Exports
(% of Exports)
2010
Iron ores and concentrates, incl. roasted iron...Iron ores and concentrates, incl. roasted iron pyrites 21.4%
Coal; briquettes, ovoids and similar solid fuels...Coal; briquettes, ovoids and similar solid fuels manufactured from coal 18.7%
Gold, incl. gold plated with platinum, unwrought...Gold, incl. gold plated with platinum, unwrought or not further worked than semi-manufactured or in powder form 6.2%
Petroleum gas and other gaseous hydrocarbonsPetroleum gas and other gaseous hydrocarbons 4.6%
Petroleum oils and oils obtained from bituminous...Petroleum oils and oils obtained from bituminous minerals, crude 4.5%
See More Products 44.6%
Main Imports
(% of Imports)
2010
Petroleum oils and oils obtained from bituminous...Petroleum oils and oils obtained from bituminous minerals, crude 7.7%
Motor cars and other motor vehicles principally...Motor cars and other motor vehicles principally designed for the transport of persons, incl. station wagons and racing cars (excl. motor vehicles of heading 8702) 7.6%
Petroleum oils and oils obtained from bituminous...Petroleum oils and oils obtained from bituminous minerals (excl. crude); preparations containing >= 70% by weight of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations, n.e.s.; waste oils containing mainly petroleum or bituminous minerals 4.7%
Medicaments consisting of mixed or unmixed...Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses "incl. those in the form of transdermal administration" or in forms or packings for retail sale (excl. goods of heading 3002, 3005 or 3006) 3.7%
Gold, incl. gold plated with platinum, unwrought...Gold, incl. gold plated with platinum, unwrought or not further worked than semi-manufactured or in powder form 3.4%
See More Products 72.9%

Source: Comtrade, Last Available Data

 
See More Products
More imports (Intracen Data)
More exports (Intracen Data)
 

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Sources of General Economic Information

Ministries
Department of Foreign Affairs and Trade (DFAT)
Australian Government Agriculture Portal
Minister for Finance and Deregulation
Ministers for Innovation, Industry, Science and Research
Australian Bureau of Agricultural and Resource Economics (ABARE)
Statistical Office
Australian Bureau of Statistics
Central Bank
Reserve Bank of Australia
Stock Exchange
Australian Stock Exchange
Search Engines
Anzwers
Ninemsn
Web Search
Wombat
Economic Portals

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Political Outline

Executive Power
Australia an independent nation, belonging to the Commonwealth, and recognizes the British Monarch as its sovereign. Queen Elizabeth II is the Head of State. She is represented in Australia by a Governor General who has a symbolic function (he is appointed by her on the recommendation of the Prime Minister). The Prime Minister is the head of the government. He runs State business. It is the Prime Minister who appoints the Cabinet. The Prime Minister is the leader of the party that wins the majority of seats in the House of Representatives at the General Election.
Legislative Power
The parliament is composed of the Senate and the House of Representatives. Senators are elected for a 6 year term, and the members of the House of Representatives for a 3 year term minimum. The Prime Minister and the Cabinet are responsible to parliament, of which they must be elected members.
Main Political Parties
A bipartisan system with:
- The Liberal Party (conservative, centre-right, neoliberal);
- The Australian Labor Party (social democrat, centre-left).
Also : The Greens, and the National Party (conservative) in coalition with the Liberal Party.
Current Political Leaders
Prime Minister: Kevin RUDD (elected in December 2007) – Labor Party
Governor General: Quentin Alice Louise BRYCE (since 5 September 2008)
Next Election Dates
Senate : June 2011
Representatives : December 2013
 

Indicator of Freedom of the Press

World Rank:
18/178
Evolution:
2 places down compared to 2009

Source: Worldwide Press Freedom Index 2010, Reporters Without Borders

 

Indicator of Political Freedom

Ranking:
Free
Political Freedom:
1/7
Civil Liberties:
1/7

Map of freedom 2010
Source: Freedom House

 

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Last Updates: January 2012