Gross domestic product suffers early effects of floods
AUSTRALIA’S economy grew in line with expectations in the final quarter of 2010, but economists say the effects of recent natural disasters slightly depressed exports.
The Australian economy grew by .7 per cent in the December quarter ,seas onally adjusted, national accounts released yesterday show.
This c o mpared wit h a downwardly revised .1 per cent gross domestic product in the September quarter.
‘‘ All told, with the effects of the floods and everything else, it’s about in line with expectations,’’ Nomura Australia chief economist Stephen Roberts said.
He expected March quarter GDP figures to give a fuller picture of the floods and cyclones that hit Queensland in late December to January.
‘‘ We’re not going to see much growth in the March quarter, because it’s going to be affected by the floods and the cyclone,’’ he said.
‘‘ But later in the year, we can expect better numbers than these.’’
Over the year to the end of December, GDP grew at 2.7percent seasonally adjusted.