By MT Newswires
Publication Date: 2025-12-03 11:32:00
Investment growth in the private business sector was a key factor in the acceleration of the Australian economy in the September quarter, particularly as demand for artificial intelligence increases.
Gross domestic product rose 2.1% year-on-year, according to data from the Australian Bureau of Statistics on Wednesday. That year-on-year figure, which beat the Reserve Bank of Australia’s growth estimate of 2%, was the fastest since 2023.
However, quarterly growth of 0.4% was a slowdown from the previous quarter’s 0.7% increase and also missed the market forecast of a 0.7% gain.
Private investment growth was one of the main drivers of GDP growth, contributing 0.5 percentage points. The increasing demand for AI helped boost the machinery and equipment sector.
“The increase in machinery and equipment investment reflects the continued expansion of data centers,” said Grace Kim, ABS head of national accounts. “This is likely due to companies seeking support…
