Australia Economic Outlook: Q4 2025

Domestically, Australia’s economy has shifted into a higher gear, albeit continuing to operate below historical growth trends.

The global economy demonstrated resilience throughout 2025 in the face of higher uncertainty brought about by changes to US trade policy, supported by front-loaded trade flows, strong AI-related investment, and accommodative fiscal and monetary settings. Global growth is expected to gradually recover in 2026 as the impact of tariff and trade policy uncertainty fades, and financial conditions remain favourable. Domestically, Australia's economy has shifted into a higher gear, albeit continui...

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Authors: Brendan Rynne, Michael Malakellis,

Published Date: 28 January 2026