Australia’s unemployment rate will remain elevated over the next two years as economic growth stays sluggish, the central bank said Monday. “The Bank’s latest forecasts are for employment growth to pick up gradually over the next two years,” said Reserve Bank of Australia Assistant Governor (Economic) Christopher Kent. “The unemployment rate is expected to remain elevated over that period.”
Unemployment is expected to be falling by late in 2015 “when we anticipate gross domestic product growth to be picking up to an above-trend pace,” Mr. Kent said at an event hosted by The Wall Street Journal in Sydney.
Mr. Kent said recent signs of improvement in employment creation were encouraging, but said the job market might just be catching up after a moribund 2013.