| AUSTRALIA |
Economy:
Australia's abundant and diverse natural resources attract high levels of foreign
investment and include extensive reserves of coal, iron ore, copper, gold, natural gas,
uranium, and renewable energy sources. A series of major investments, such as the
US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources
sector. Australia also has a large services sector and is a significant exporter of natural
resources, energy, and food. Key tenets of Australia's trade policy include support for
open trade and the successful culmination of the Doha Round of multilateral trade
negotiations, particularly for agriculture and services. The Australian economy grew for 17
consecutive years before the global financial crisis. Subsequently, the Rudd government
introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the
slowing world economy, while the Reserve Bank of Australia cut interest rates to historic
lows. These policies - and continued demand for commodities, especially from China -
helped the Australian economy rebound after just one quarter of negative growth. The
economy grew by 1.2% during 2009 - the best performance in the OECD - and by 3.3% in
2010. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009
and fell to 5.1% in 2010. As a result of an improved economy, the budget deficit is
expected to peak below 4.2% of GDP and the government could return to budget
surpluses as early as 2015. Australia was one of the first advanced economies to raise
interest rates, with seven rate hikes between October 2009 and November 2010. The
GILLARD government is focused on raising Australia's economic productivity to ensure the
sustainability of growth, and continues to manage the symbiotic, but sometimes tense,
economic relationship with China. Australia is engaged in the Trans-Pacific Partnership
talks and ongoing free trade agreement negotiations with China, Japan, and Korea.
GDP (purchasing power parity):
$882.4 billion (2010 est.)
country comparison to the world: 18
$858.8 billion (2009 est.)
$847.5 billion (2008 est.)
note: data are in 2010 US dollars
GDP (official exchange rate):
$1.236 trillion (2010 est.)
GDP - real growth rate:
2.7% (2010 est.)
country comparison to the world: 131
1.3% (2009 est.)
2.6% (2008 est.)
GDP - per capita (PPP):
$41,000 (2010 est.)
country comparison to the world: 18
$40,400 (2009 est.)
$40,300 (2008 est.)
note: data are in 2010 US dollars
GDP - composition by sector:
agriculture: 4%
industry: 24.8%
services: 71.2% (2010 est.)
Exports - commodities:
coal, iron ore, gold, meat, wool, alumina, wheat, machinery and transport equipment
Exports - partners:
China 21.81%, Japan 19.19%, South Korea 7.88%, India 7.51%, US 4.95%, UK 4.37%, NZ
4.1% (2009)
Imports - commodities:
machinery and transport equipment, computers and office machines, telecommunication
equipment and parts; crude oil and petroleum products
Imports - partners:
China 17.94%, US 11.26%, Japan 8.36%, Thailand 5.81%, Singapore 5.54%, Germany
5.3% (2009)
Banking
The four largest retail banks in Australia are Westpac Banking Corporation,
Commonwealth Bank, Australian New Zealand Bank (ANZ), and National Australia Bank
(NAB). These are four of the ten global banks that carry AA ratings. Nevertheless, trade
finance liquidity is an issue here as in the rest of the world.
While the banking system in Australia is reliable and transparent, there are structural
and operational differences from the American system. Historically, Australian banks
have not operated under the restrictions that limited U.S. bank operations between 1933
and the repeal of the Glass-Steagall Act. In Australia, the distinction between retail
banks and investment banks has become increasingly blurred.
The Australian banking system is undergoing progressive deregulation and privatization.
Foreign banks are allowed to enter the financial market. Retail banks, in general, now
provide a wider range of financial services, including: life and general insurance, stock
brokering, and security underwriting to retail customers, in addition to making corporate
and consumer loans. This places them in competition with brokerage houses and
merchant banks.
The Australian Government permits non-Australian banks to operate as branches to
serve the wholesale market. Banking regulations, however, only allow retail banking
activities through a locally-incorporated subsidiary.
The Reserve Bank of Australia (RBA) sets monetary policy and regulates the payment
system. The Australian Prudential Regulation Authority (APRA) oversees banks, credit
unions, building societies, general insurance and reinsurance companies, life insurance,
friendly societies (co-ops), and most members of the superannuation industry. APRA
currently supervises institutions holding approximately USD3.6 trillion in assets for 21
million Australian depositors, policyholders, and superannuation fund members.
Stock Exchange
In 2009, the Australian Stock Exchange (ASX) was the 13th largest in the world and the
market capitalization of shares of domestic companies on the ASX was about US$1.3
trillion, the fourth largest in the Asia-Pacific region. With 2,050 listed companies, the
Australian stock market is currently the second largest liquid stock market in the Asia-
Pacific (behind only Japan) at US$936 billion.
Australia's abundant and diverse natural resources attract high levels of foreign
investment and include extensive reserves of coal, iron ore, copper, gold, natural gas,
uranium, and renewable energy sources. A series of major investments, such as the
US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources
sector. Australia also has a large services sector and is a significant exporter of natural
resources, energy, and food. Key tenets of Australia's trade policy include support for
open trade and the successful culmination of the Doha Round of multilateral trade
negotiations, particularly for agriculture and services. The Australian economy grew for 17
consecutive years before the global financial crisis. Subsequently, the Rudd government
introduced a fiscal stimulus package worth over US$50 billion to offset the effect of the
slowing world economy, while the Reserve Bank of Australia cut interest rates to historic
lows. These policies - and continued demand for commodities, especially from China -
helped the Australian economy rebound after just one quarter of negative growth. The
economy grew by 1.2% during 2009 - the best performance in the OECD - and by 3.3% in
2010. Unemployment, originally expected to reach 8-10%, peaked at 5.7% in late 2009
and fell to 5.1% in 2010. As a result of an improved economy, the budget deficit is
expected to peak below 4.2% of GDP and the government could return to budget
surpluses as early as 2015. Australia was one of the first advanced economies to raise
interest rates, with seven rate hikes between October 2009 and November 2010. The
GILLARD government is focused on raising Australia's economic productivity to ensure the
sustainability of growth, and continues to manage the symbiotic, but sometimes tense,
economic relationship with China. Australia is engaged in the Trans-Pacific Partnership
talks and ongoing free trade agreement negotiations with China, Japan, and Korea.
GDP (purchasing power parity):
$882.4 billion (2010 est.)
country comparison to the world: 18
$858.8 billion (2009 est.)
$847.5 billion (2008 est.)
note: data are in 2010 US dollars
GDP (official exchange rate):
$1.236 trillion (2010 est.)
GDP - real growth rate:
2.7% (2010 est.)
country comparison to the world: 131
1.3% (2009 est.)
2.6% (2008 est.)
GDP - per capita (PPP):
$41,000 (2010 est.)
country comparison to the world: 18
$40,400 (2009 est.)
$40,300 (2008 est.)
note: data are in 2010 US dollars
GDP - composition by sector:
agriculture: 4%
industry: 24.8%
services: 71.2% (2010 est.)
Exports - commodities:
coal, iron ore, gold, meat, wool, alumina, wheat, machinery and transport equipment
Exports - partners:
China 21.81%, Japan 19.19%, South Korea 7.88%, India 7.51%, US 4.95%, UK 4.37%, NZ
4.1% (2009)
Imports - commodities:
machinery and transport equipment, computers and office machines, telecommunication
equipment and parts; crude oil and petroleum products
Imports - partners:
China 17.94%, US 11.26%, Japan 8.36%, Thailand 5.81%, Singapore 5.54%, Germany
5.3% (2009)
Banking
The four largest retail banks in Australia are Westpac Banking Corporation,
Commonwealth Bank, Australian New Zealand Bank (ANZ), and National Australia Bank
(NAB). These are four of the ten global banks that carry AA ratings. Nevertheless, trade
finance liquidity is an issue here as in the rest of the world.
While the banking system in Australia is reliable and transparent, there are structural
and operational differences from the American system. Historically, Australian banks
have not operated under the restrictions that limited U.S. bank operations between 1933
and the repeal of the Glass-Steagall Act. In Australia, the distinction between retail
banks and investment banks has become increasingly blurred.
The Australian banking system is undergoing progressive deregulation and privatization.
Foreign banks are allowed to enter the financial market. Retail banks, in general, now
provide a wider range of financial services, including: life and general insurance, stock
brokering, and security underwriting to retail customers, in addition to making corporate
and consumer loans. This places them in competition with brokerage houses and
merchant banks.
The Australian Government permits non-Australian banks to operate as branches to
serve the wholesale market. Banking regulations, however, only allow retail banking
activities through a locally-incorporated subsidiary.
The Reserve Bank of Australia (RBA) sets monetary policy and regulates the payment
system. The Australian Prudential Regulation Authority (APRA) oversees banks, credit
unions, building societies, general insurance and reinsurance companies, life insurance,
friendly societies (co-ops), and most members of the superannuation industry. APRA
currently supervises institutions holding approximately USD3.6 trillion in assets for 21
million Australian depositors, policyholders, and superannuation fund members.
Stock Exchange
In 2009, the Australian Stock Exchange (ASX) was the 13th largest in the world and the
market capitalization of shares of domestic companies on the ASX was about US$1.3
trillion, the fourth largest in the Asia-Pacific region. With 2,050 listed companies, the
Australian stock market is currently the second largest liquid stock market in the Asia-
Pacific (behind only Japan) at US$936 billion.
Background:
Aboriginal settlers arrived on the continent from
Southeast Asia about 40,000 years before the
first Europeans began exploration in the 17th
century. No formal territorial claims were made
until 1770, when Capt. James COOK took
possession in the name of Great Britain. Six
colonies were created in the late 18th and 19th
centuries; they federated and became the
Commonwealth of Australia in 1901. The new
country took advantage of its natural resources
to rapidly develop agricultural and
manufacturing industries and to make a major
contribution to the British effort in World Wars I
and II. In recent decades, Australia has
transformed itself into an internationally
competitive, advanced market economy. It
boasted one of the OECD's fastest growing
economies during the 1990s, a performance
due in large part to economic reforms adopted
in the 1980s. Long-term concerns include
pollution, particularly depletion of the ozone
layer, and management and conservation of
coastal areas, especially the Great Barrier Reef.
Government type:
federal parliamentary democracyCapital:
name: Canberra
time difference: UTC+10
note: Australia is divided into three time zones
Independence:
1 January 1901 (federation of UK colonies)
National holiday:
Australia Day, 26 January (1788); ANZAC Day
(commemorated
as the anniversary of the 1915 landing of
troops of the Australian and
New Zealand Army Corps during World War I at
Gallipoli, Turkey), 25 April
Constitution:
9 July 1900, effective 1 January 1901
Legal system:
based on English common law; accepts
compulsory ICJ jurisdiction, with reservations
Suffrage:
18 years of age; universal and compulsory
Government:
Chief of state: Queen of Australia ELIZABETH II
(since 6 February 1952); represented by
Governor General Quentin BRYCE (since 5
September 2008)
head of government: Prime Minister Julia Eileen
GILLARD (since 24 June 2010); Deputy Prime
Minister Wayne Maxwell SWAN (since 24 June
2010)
cabinet: prime minister nominates, from among
members of Parliament, candidates who are
subsequently sworn in by the governor general
to serve as government ministers
elections: the monarchy is hereditary; governor
general appointed by the monarch on the
recommendation of the prime minister; following
legislative elections, the leader of the majority
party or leader of a majority coalition is sworn in
as prime minister by the governor general
For names of current Ministers, click here.
Disputes - international:
In 2007 Australia and Timor-Leste sign 50-year
development zone and revenue sharing
agreement in lieu of a maritime boundary;
dispute with Timor-Leste hampers creation of a
revised maritime boundary with Indonesia in the
Timor Sea; regional states continue to express
concern over Australia's 2004 declaration of a
1,000-nautical mile-wide maritime identification
zone; Australia asserts land and maritime
claims to Antarctica; in 2004 Australia submitted
its claims to Commission on the Limits of the
Continental Shelf (CLCS) to extend its
continental margins covering over 3.37 million
square kilometers, expanding its seabed
roughly 30 percent more than its claimed
exclusive economic zone; since 2003, Australia
has led the Regional Assistance Mission to the
Solomon Islands (RAMSI) to maintain civil and
political order and reinforce regional security
All the information on this page sourced from
the CIA World Factbook, the US Commercial
Service and relevant FATF M.E.R.
Aboriginal settlers arrived on the continent from
Southeast Asia about 40,000 years before the
first Europeans began exploration in the 17th
century. No formal territorial claims were made
until 1770, when Capt. James COOK took
possession in the name of Great Britain. Six
colonies were created in the late 18th and 19th
centuries; they federated and became the
Commonwealth of Australia in 1901. The new
country took advantage of its natural resources
to rapidly develop agricultural and
manufacturing industries and to make a major
contribution to the British effort in World Wars I
and II. In recent decades, Australia has
transformed itself into an internationally
competitive, advanced market economy. It
boasted one of the OECD's fastest growing
economies during the 1990s, a performance
due in large part to economic reforms adopted
in the 1980s. Long-term concerns include
pollution, particularly depletion of the ozone
layer, and management and conservation of
coastal areas, especially the Great Barrier Reef.
Government type:
federal parliamentary democracyCapital:
name: Canberra
time difference: UTC+10
note: Australia is divided into three time zones
Independence:
1 January 1901 (federation of UK colonies)
National holiday:
Australia Day, 26 January (1788); ANZAC Day
(commemorated
as the anniversary of the 1915 landing of
troops of the Australian and
New Zealand Army Corps during World War I at
Gallipoli, Turkey), 25 April
Constitution:
9 July 1900, effective 1 January 1901
Legal system:
based on English common law; accepts
compulsory ICJ jurisdiction, with reservations
Suffrage:
18 years of age; universal and compulsory
Government:
Chief of state: Queen of Australia ELIZABETH II
(since 6 February 1952); represented by
Governor General Quentin BRYCE (since 5
September 2008)
head of government: Prime Minister Julia Eileen
GILLARD (since 24 June 2010); Deputy Prime
Minister Wayne Maxwell SWAN (since 24 June
2010)
cabinet: prime minister nominates, from among
members of Parliament, candidates who are
subsequently sworn in by the governor general
to serve as government ministers
elections: the monarchy is hereditary; governor
general appointed by the monarch on the
recommendation of the prime minister; following
legislative elections, the leader of the majority
party or leader of a majority coalition is sworn in
as prime minister by the governor general
For names of current Ministers, click here.
Disputes - international:
In 2007 Australia and Timor-Leste sign 50-year
development zone and revenue sharing
agreement in lieu of a maritime boundary;
dispute with Timor-Leste hampers creation of a
revised maritime boundary with Indonesia in the
Timor Sea; regional states continue to express
concern over Australia's 2004 declaration of a
1,000-nautical mile-wide maritime identification
zone; Australia asserts land and maritime
claims to Antarctica; in 2004 Australia submitted
its claims to Commission on the Limits of the
Continental Shelf (CLCS) to extend its
continental margins covering over 3.37 million
square kilometers, expanding its seabed
roughly 30 percent more than its claimed
exclusive economic zone; since 2003, Australia
has led the Regional Assistance Mission to the
Solomon Islands (RAMSI) to maintain civil and
political order and reinforce regional security
All the information on this page sourced from
the CIA World Factbook, the US Commercial
Service and relevant FATF M.E.R.
| KnowYourCountry |
| Last Updated: 26 June 2011 |
|
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