Australia has officially sunk into recession for the first time in almost 30 years with a quarterly slump that is worse than the 1930s Great Depression.
The economy plunged by a record 7% in the June quarter alone, the Australian Bureau of Statistics has confirmed.
On an annual basis, the economy shrunk by 6.3 per cent – a level unseen since the aftermath of World War II in 1945 when the troops returned home.
Until this morning, Australia proudly officially held a 29-year world record for avoiding a recession but COVID-19 social distancing policies and border closures has crashed it all down
Treasurer Josh Frydenberg described the results of a ‘once-in-a-century pandemic’ as ‘heart breaking’ human stories – from tourism operators to tradies – after household consumer spending fell for the first time ever.
‘Behind these stories and these numbers are heart breaking stories of hardship being felt by everyday Australians as they go about their daily lives be it the tourism operator in Cairns, the tradie in Melbourne, the cafe worker in Adelaide or the domestic flight attendant in Sydney.
‘These numbers are sobering and devastating. Today’s devastating numbers confirm what every Australian knows.’
