The local share market is close to the lows of the GFC after a 1.6 per cent fall this morning. However, Prime Minister Julia Gillard has urged Australians not to be worried by the turmoil in international markets.
“We are seeing turmoil on international markets. Many Australians would be seeing that and would be concerned about that,” she said. “The fundamentals of the Australian economy are strong – low unemployment, low public debt, a strong banking system, growth, employment prospects, record terms of trade, hundreds of billions of dollars in the investment pipeline.”
Ms Gillard said while Australia was not immune to global economic events, the nation’s growth was powered from the growing Asian region and China.
“We are a nation with strong economic fundamentals, the envy of the world,” she said. “We do have strength and resilience even as we see these things in other parts of the world but it would be better for the global economy if Europe could show the leadership necessary to resolve the difficulties there,” she said.
Ms Gillard is one of seven world leaders to have signed a joint letter calling on European leaders to show leadership to revolve its debt crisis.