Official figures have revealed the Government’s first economic stimulus package had a bigger than expected effect on retail sales in December.
Sales for the month were 3.8 per cent higher than in November, the biggest percentage rise since after the introduction of the GST in August 2000.
The figures were released after Opposition Leader Malcolm Turnbull said the Coalition would vote against the Government’s latest $42 billion stimulus package.
NabCapital senior economist David de Garis says it shows some of the initial handouts have been spent as the Government wanted.
“People were out there spending, perhaps not spending all of it, but spending nevertheless,” he said.
“It certainly gives the Government some hope that some of the further fiscal stimulus that they announced yesterday will find its mark in helping to cushion the downturn in the economy through the second quarter of this year.”