Treasurer Chris Bowen, who was sworn in last week, took an honest approach to describing Australia’s economy during his first press conference in the new role.
I’m “calling it as I see it,” Bowen said – after he was asked if his message was at odds with a more rosy assessment given by former PM Julia Gillard before she was ousted by Kevin Rudd.
“We are seeing a transition from the investment phase of the mining boom to the production phase. The investment and construction phases were very labour intensive, soaking up workers throughout the economy,” he said according to Fairfax Media.
“The production phase will be very different.”
Australia’s economy is still strong and resilient, but commodity prices are weakening and mining investment is also decreasing, Bowen said.
“Managing the transition and dealing with the decline in our terms of trade will require very careful management in the coming months and years,” he warned according to the Fairfax report.
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