People are seen walking in front of the Sydney Opera House and Sydney Harbour Bridge following the easing of restrictions implemented to curb the spread of the coronavirus disease in Sydney, Australia, on Jun 23, 2020. SYDNEY: A year after the coronavirus pandemic pummelled Australia's economy, IT contractor Ashok Ravindran has a nice problem: deciding which of three job offers to accept.
The A$2 trillion economy is now larger than before the once-in-a-century pandemic hit its shores. Sporting events are again a major spectacle and pubs overflow with patrons. In many states and territories, masks are an uncommon sight.If anything, the very constraints that were expected to hurt demand, such as closed international borders and limited domestic mobility, have serendipitously channelled new sources of growth.
While the country is in the midst of a worsening trade war with the world’s largest trading nation, China, Australia's exports are miraculously booming, thanks to soaring prices of iron ore and newer markets in Asia and Middle East to sell to.Australia's swift economic recovery from its first recession in three decades in 2020 has been driven by its ability to largely re-open from coronavirus lockdowns earlier than expected and solid monetary and fiscal stimulus.
The surge in home prices has sparked a building boom, sending shares of building products makers such as James Hardie and Brickworks to record highs. Shares of Australia's top mortgage lender Commonwealth Bank, are at all-time highs after ceremoniously surpassing A$100 on May 28. Their fate hangs in the air as Australia has pledged to keep borders shut well into next year, which also means skilled migration - which was propelling the economy until 2019 - is practically impossible.