Shipping to Australia Blog

Australia’s jobless rate fell for the first time in five months as employment unexpectedly surged, driving the currency to a 14-month high. The number of people employed jumped 40,600 from August, the biggest gain in almost two years, cutting the jobless rate to 5.7 percent from 5.8 percent, the statistics bureau said in Sydney today.

 Governor Glenn Stevens’ unexpectedly raised interest rates this week, the first Group of 20 central banker to do so. He said economic growth in Australia, which skirted the global recession, will accelerate, driven by A$22 billion ($20 billion) in government infrastructure spending and demand for minerals from China, the nation’s second-largest export market. Recently rates from shipping to and from Australia have gone down leading to increased demand and higher profits. 

“It really is quite surprising to see such strength so quickly,” said Brian Redican, a senior economist at Macquarie Group Ltd. in Sydney.

The number of full-time jobs gained 35,400 in September and part-time employment increased 5,200, today’s report showed.

Since the collapse of Lehman Brothers Holdings Inc. in September 2008, Australia’s unemployment rate has risen to 5.7 percent from 4.3 percent. By contrast, the U.S. jobless rate jumped to 9.8 percent from 6.2 percent in the same period.

Australia’s economy has outperformed most other developed nations, expanding 1 percent in the first half of the year, and is forecast by the International Monetary Fund to grow 2 percent in 2010. By contrast, the U.S. economy will expand 1.5 percent next year, Japan by 1.7 percent and the euro region by just 0.3 percent, the fund said last week.

Growth in Australia has been stoked by A$20 billion in government cash handouts to consumers and the central bank’s decision to slash borrowing costs between September 2008 and April to the lowest level in half a century.

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