Australia's Economy Grows 0.8% in Q4 2025, Exceeding Market Expectations

Kathmandu. According to official statistics released on Wednesday, Australia's economy grew by 0.8 percent in the final quarter of 2025. This figure is higher than market expectations. Data from the Australian Bureau of Statistics (ABS) showed that the Gross Domestic Product (GDP) grew by 0.8 percent in the quarter ending December 2025 and by 2.6 percent for the entire calendar year.

This growth is higher compared to the 0.5 percent quarterly growth and 2.1 percent annual growth recorded in the previous September quarter. According to the Australian Broadcasting Corporation, economists had expected a GDP growth of 0.6 percent for the December quarter and 2.2 percent annually.

Furthermore, the Reserve Bank of Australia (RBA) had projected an annual growth of 2.3 percent in its forecast released in February. Treasurer Jim Chalmers called these figures encouraging, stating that they provide a strong foundation to face global economic instability. According to him, rising tensions in Iran and the Middle East are adding challenges to the world economy. Additionally, the ABS reported that per capita GDP increased by 0.9 percent annually up to December, marking the highest annual growth since December 2022.