Australia's economy to shrink 10% in first half of 2020 - RBA Governor

Australia's economic output is likely to fall by around 10% in the first half of 2020, with most of this decline taking place in the June quarter due to the hit from the COVID-19 pandemic, the central bank governor said on Tuesday. The unemployment rate is likely to be around 10% by June, Reserve Bank of Australia (RBA) Governor Philip Lowe said. It was 5.2% in March.

"Whatever the timing of the recovery, when it does come, we should not be expecting that we will return quickly to business as usual," Lowe said in a speech broadcast live on the RBA's website. "Rather, the twin health and economic emergencies that we are experiencing now will cast a shadow over our economy for some time to come."