Australian Finance Minister Mathias Cormann told CNBC he was not satisfied with the performance of Australia's economy, despite the International Monetary Fund's recent praise of the nation's finances.
In an annual report on Australia released on Wednesday, the IMF highlighted how well the nation's economy has performed relative to others since the financial crisis, but it noted a number of external and domestic risks, including a slowdown in China, a frothy domestic property market and an overvalued currency, amongst other factors.
"It's true we are not in as challenging a position as other parts of the world but we think we can do better," said Cormann.
"Right now the economy is growing below trend, unemployment is rising and the government is working very hard to turn that around, essentially by focusing on policies to bring down the level of taxation. [They are] scrapping things like the carbon tax and mining tax, bringing down the cost of regulation, improving regulatory certainty [through] investment in productivity enhancing infrastructure," he added.
Often described as the 'lucky country' Australia's economy held up relatively well after the global financial crisis of 2008, enjoying an average 3.5 percent growth rate from 1960 to 2013, helped by a boom in its mining industry.
However, with the boom said to be over, demand from Australia's largest trading partner China waning and a relatively strong currency damaging the country's international competitiveness, analysts have turned more cautious on the nation's economic outlook. For instance, last year investment bank Goldman Sachs downgraded its forecast for Australian growth in 2014 to 2 percent from 2.4 percent.
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