Australia's economic growth slowed to just 0.1 per cent in the third financial quarter, its slowest pace in eight years. -- PHOTO: BLOOMBERG
CANBERRA - AUSTRALIA'S economic growth slowed to just 0.1 per cent in the third financial quarter, its slowest pace in eight years, official figures showed on Wednesday.
The national accounts data for the three months through September take the country's gross domestic product growth figure to a six-year low of 1.9 per cent, and intensifies concern that the economy is headed for a recession.
The government's official prediction for full-year economic growth is 2 per cent.
The figures are the latest bad news for the Australian economy, and come as the central bank and the government act aggressively to try to stave off negative growth.
On Tuesday, the Reserve Bank of Australia slashed its key interest rate for the fourth consecutive time, taking it to 4.25 per cent. Prime Minister Kevin Rudd has announced an A$10.4 billion (S$10.32 billion) stimulus package and says the government will spend more if needed.
The latest gross domestic product data covers a period before the Reserve Bank started cutting interest rates. They show low consumer spending was the major drag on growth for the quarter. -- AP
