Australia's economy grew by a modest 0.2% in the December quarter of 2023, the slowest in over a year.

Annual GDP growth was 1.5%, slightly surpassing expectations, with a notable 0.6% increase in government consumption expenditure.

Economic expansion was primarily driven by government spending and private business investment.

Growth has been decelerating throughout 2023, as reported by the Australian Bureau of Statistics.

Services sector showed improvement with Judo Bank Services PMI at 53.1, but manufacturing contracted in February.

Exchange-traded funds like EWA are gaining attention as potential investment options in the Australian market.

Productivity advancements are helping to alleviate labor costs, and household savings levels are holding steady.

The Reserve Bank of Australia forecasts a dip in GDP growth to 1.3% by mid-2023, with a rebound to 1.8% by end of 2024.

The Albanese government faces increasing pressure to tackle rising living costs and may consider additional household support in the upcoming May budget.