Australia's economy will do better than those of the majority of other countries in the world in the second half of the year, a report has claimed.
Propell National Valuers wrote in its latest Australian Economic Overview that this will happen despite the string of natural disasters, including floods and Cyclone Yasi, that affected the country earlier in the year.
It states that economic growth improved in the final quarter of 2010, hitting 0.7 per cent, but that growth for the first quarter of 2011 is expected to be much lower, because of the natural disasters.
However, it goes on to say that that it "is then expected to rebound in the remainder of the year".
The report also claims that, in the short term, the cash rate in Australia should remain at the current level of 4.75 per cent.
In terms of the price of property in Australia, the report predicts that major falls in value are not expected for the rest of the year.
Earlier in the year, David Airey, president of the Real Estate Institute of Australia, said that more people would seek mortgages for property in Australia if interest rates remain as they are.
Posted by Steve Douglas
