Impact of australian dollar from GFC
IMPACT OF GFC ON AUSTRALIAN DOLLAR
As United States of America and other European countries faced recession there were few developing Asian countries such as China and India which were least affected. China and India recorded 9.7 and 10% GDP growth respectively from 2006. Australia has abundant natural resources such as Iron ore, coal, Uranium etc. As these two hugely populated large economies which also consume huge resources was the main factor which helped Australia in surviving GFC (IMF 2009).
There was a massive demand of natural recourses from these developing countries hence encouraging export of minerals on large scale. This sudden boom in export contributed in development of Australian economy.
Australian states such as Queensland (QLD) and Western Australia (WA) which has abundant natural resources has experienced huge rise in economy where as Victoria and New South Wales (NSW) experienced slight increase (ABS 5625.0).
This led to establishment of huge companies and industries thus creating enormous employment opportunities. Australia was considered as a better investment opportunity in the world. People from all parts of world started migrating to Australia in search of jobs and better living standards. All these circumstances gave a boost to local market conditions and led to increasing the AUD rate. The country saw a increase in investments from different countries, jobs, population during GFC which helps in stabilising growth of the economy.
Rise of Australian Dollar
As there was sudden boom in development activities as there was a shortage of labour and work force. This led to increase the salaries and wages to lure people towards jobs. There were many professional who applied for jobs in mining due to its attractive pay. This gave rise to flow of money and there was an increase in prices of house rent, essential commodities and other retail services. These all factors helped in increase of AUD as
As United States of America and other European countries faced recession there were few developing Asian countries such as China and India which were least affected. China and India recorded 9.7 and 10% GDP growth respectively from 2006. Australia has abundant natural resources such as Iron ore, coal, Uranium etc. As these two hugely populated large economies which also consume huge resources was the main factor which helped Australia in surviving GFC (IMF 2009).
There was a massive demand of natural recourses from these developing countries hence encouraging export of minerals on large scale. This sudden boom in export contributed in development of Australian economy.
Australian states such as Queensland (QLD) and Western Australia (WA) which has abundant natural resources has experienced huge rise in economy where as Victoria and New South Wales (NSW) experienced slight increase (ABS 5625.0).
This led to establishment of huge companies and industries thus creating enormous employment opportunities. Australia was considered as a better investment opportunity in the world. People from all parts of world started migrating to Australia in search of jobs and better living standards. All these circumstances gave a boost to local market conditions and led to increasing the AUD rate. The country saw a increase in investments from different countries, jobs, population during GFC which helps in stabilising growth of the economy.
Rise of Australian Dollar
As there was sudden boom in development activities as there was a shortage of labour and work force. This led to increase the salaries and wages to lure people towards jobs. There were many professional who applied for jobs in mining due to its attractive pay. This gave rise to flow of money and there was an increase in prices of house rent, essential commodities and other retail services. These all factors helped in increase of AUD as