Australia: 2008 Article IV Consultation: Staff Report; Staff Supplement; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Australia
IMF Staff Country Reports, September 23, 2008
Source details
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- Australia: 2008 Article IV Consultation: Staff Report; Staff Supplement; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Australia
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Bibliographic details
- Published: September 23, 2008
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451802191.002
Macroeconomic context and findings
- Recently a commodity price boom, driven by robust global demand, has pushed the Australian economy up against capacity constraints.
- Executive Directors considered that the sound macroeconomic framework should permit Australia to weather the global downturn and contain inflationary pressures.
- The authorities were encouraged to take advantage of the positive macroeconomic performance to advance structural reforms.
Financial sector developments
- Banks are adjusting the structure of their funding in response to the turmoil:
- increasing liquidity, and
- lengthening the maturity of their funding.
Policy recommendations and implications
- Continue to rely on the established macroeconomic framework to:
- help Australia withstand the global downturn, and
- contain inflationary pressures.
- Advance structural reforms while macroeconomic performance remains positive.
Subjects and keywords (as described in the report)
- Subjects: Banking, Commodity prices, Currencies, External debt, Inflation, International trade, Money, Prices, Terms of trade
- Keywords: commodity price boom, Commodity prices, CR, Currencies, deficit, equilibrium level, Global, Inflation, inflation pressure, ISCR, rate, RBA move, reserve bank of Australia, Terms of trade, vis nonresident
Content in this bundle
- _cr08312 - Executive Summary