{"id":253672,"date":"2020-09-02T08:46:36","date_gmt":"2020-09-02T07:46:36","guid":{"rendered":"https:\/\/arewa.ng\/?p=253672"},"modified":"2020-09-02T08:47:04","modified_gmt":"2020-09-02T07:47:04","slug":"coronavirus-australia-sent-into-first-recession-for-28-years-business-news","status":"publish","type":"post","link":"https:\/\/arewa.ng\/?p=253672","title":{"rendered":"Coronavirus: Australia sent into first recession for 28 years | Business News"},"content":{"rendered":"
Australia has fallen into recession for the first time in more than 28 years.<\/p>\n

The country joins the likes of America<\/strong>, Britain<\/strong>, and Germany<\/strong> in recording two quarters in a row of decline after the coronavirus<\/strong> pandemic crushed world economies.<\/p>\n

Official figures show gross domestic product (GDP) shrank by a record 7% in the second quarter after a 0.3% decline in the first three months of the year.<\/p>\n

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\"A<\/p>\n<\/div>

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\nPrime Minister Scott Morrison said it was a ‘devastating day for Australia’<\/span><\/figcaption><\/figure>\n<\/div>\n

When the “lucky country” was last in recession in 1991, John Major was prime minister of Britain and Bryan Adams’ Everything I Do (I Do It For You) topped the charts.<\/p>\n

In football, Notts County, Oldham Athletic and Wimbledon were in the First Division (before the advent of the Premier League).<\/p>\n

Australia<\/strong>, unlike most developed countries, escaped a downturn during the global financial crisis of 2008-9, helped by a mining boom fuelled by demand from China<\/strong>.<\/p>\n

But it could not escape the ravages of the COVID-19<\/strong> pandemic.<\/p>\n

The second quarter slump was the biggest since records began in 1959 and estimated to have been only exceeded by a 9.5% contraction in 1930 during the Great Depression.<\/p>\n

Australia’s treasurer Josh Frydenberg said: “This crisis is like no other.<\/p>\n

“Today’s national accounts confirm the devastating impact on the Australian economy from COVID-19.<\/p>\n

“Our record run of 28 consecutive years of economic growth has now officially come to an end.”<\/p>\n

Prime minister Scott Morrison told parliament: “This is a devastating day for Australia.”<\/p>\n

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UK has started trade talks with Australia<\/span>
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The contraction in the second quarter compares with a slump of 20.4% in Britain – the worst hit among major developed nations – and 14% in France, with the US economy shrinking by 9.1%.<\/p>\n

Australia faces further strain in the current quarter with a lockdown in Victoria, its biggest state by population, and international borders shut.<\/p>\n

The country has seen more than a million people lose their jobs since March, with entire sections of the economy shut down.<\/p>\n

The government has injected A$300bn (\u00a3162bn) of stimulus with the central bank cutting rates to a record low of 0.25% in March but the latest figures – which were worse than expected – could add pressure to take further action.<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

Australia has fallen into recession for the first time in more than 28 years. The country joins the likes of America, Britain, and Germany in recording two quarters in a row of decline after the coronavirus pandemic crushed world economies. Official figures show gross domestic product (GDP) shrank by a record 7% in the second […]<\/p>\n","protected":false},"author":1,"featured_media":253673,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[14571],"tags":[414,14173,1191,152],"class_list":["post-253672","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-health","tag-australia","tag-coronavirus","tag-germany","tag-italy"],"jetpack_publicize_connections":[],"_links":{"self":[{"href":"https:\/\/arewa.ng\/index.php?rest_route=\/wp\/v2\/posts\/253672","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/arewa.ng\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/arewa.ng\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/arewa.ng\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/arewa.ng\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=253672"}],"version-history":[{"count":0,"href":"https:\/\/arewa.ng\/index.php?rest_route=\/wp\/v2\/posts\/253672\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/arewa.ng\/index.php?rest_route=\/wp\/v2\/media\/253673"}],"wp:attachment":[{"href":"https:\/\/arewa.ng\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=253672"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/arewa.ng\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=253672"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/arewa.ng\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=253672"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}