A new report from Deloitte Access Economics forecasts that the Australian economy will contract by 3% in 2020, compared with its previous expectations of a 5% fall. Deloitte expects GDP growth of 4.7% in 2021 and 4.4% in 2022.
Unemployment will rise from 7.1% this year to 7.9% next year, and it won’t recover to its pre-COVID level until around 2024.
The Victorian economy is expected to be hardest hit by the coronavirus-induced downturn, with gross state product forecast to contract by 1.6% in real terms in 2020-21.
