The Australian Financial Review --- Page: 20 : 23 March 2007 Original article by Adrian Rollins
ABIX Summary
Australia has begun to embrace the need for greater migration. In 2006, Australia experienced its largest migrant intake for 17 years, taking the migrant proportion of the total population to 54%. Economists acknowledge that the economic growth this could generate is substantial but that the intake does present difficulties for some infrastructure and the private property market. The property difficulties may be exacerbated by the highly likely interest rate increase to 6.5% by May 2007. A housing industry expert has pointed out that as long as shares provide a better return than property, a turnaround in the housing market is unlikely.
