Individuals considering investing in Australian property may be reassured to hear that Paris-based international thinktank the Organization for Economic Cooperation and Development has given the country's economy a cautious green light.
Its report suggests that, despite a slowdown process caused by natural disasters in 2011, the economy had picked up and is expected to remain on target over the next few years.
Foreign investments coupled with the mining boom should ensure a steady stream of income, it suggested, while unemployment is predicted to remain fairly low.
Nevertheless, the Australian economy is likely to be influenced by the escalation and contagion of the European debt crisis, suggested treasurer Wayne Swan.
"The turmoil in Europe is being felt right around the world, including here in Australia by share market investors, businesses and households,'' said Mr Swan in a statement.
Reports suggest the government plans to announce a $20 billion (£12.5 billion) slump in tax revenue for the year.
Posted by Ravin Chatlani
