Economists predict slowdown for Australian economy as interest rates continue to rise

Coal exports alone topped $100bn in 2021-22, part of a surge in fossil fuel exports that helped continue Australia’s economic growth despite rising interest rates. Photograph: William West/AFP/Getty Images

Booming commodity prices have provided the economy with extra propulsion even as the Reserve Bank “feathers the brakes” to reduce the risk of higher inflation taking hold, economists say.

GDP figures for the June quarter to be released by the Australian Bureau of Statistics (ABS) on Wednesday are expected to show soaring exports helped the nation maintain the growth momentum of the previous three months, even as the RBA started lifting its key interest rate for the first time since 2010.