Australia’s current account deficit exceeded expectations during the first quarter, as the nation experienced its first trade shortfall in seven years, creating substantial pressure on economic expansion.
The Australian Bureau of Statistics released figures on Tuesday revealing the current account posted a A$27.1 billion ($19.41 billion) deficit for the March quarter, an increase from the revised A$23.0 billion deficit recorded in the prior quarter. Economists had predicted a smaller A$23.2 billion deficit.
According to the ABS, net exports will reduce gross domestic product by 0.8 percentage points during the first quarter, exceeding analyst predictions of a 0.5 percentage point reduction.
($1 = 1.4094 Australian dollars)
