OECD's Economic Survey of Australia 2017

The Organization for Economic Co-operation and Development (OECD) came out with its latest report on the Economic Survey of Australia for 2017 overnight.

Key Highlights:

Points to a "non-negligible risk" of another economic downturn in the coming year

Biggest concern is Australia's two biggest risks feed on each other ... a slide in iron ore & coal prices "lift unemployment sharply" .. would result in a significant fall in consumption, rising mortgage stress, falling house prices

Australia's gross government debt is relatively low at 44 per cent of GDP, giving the budget "a significant margin to absorb shocks and actively stimulate growth" as it did during the global financial crisis

But using even lower interest rates to stimulate the economy would run the risk of further inflaming real estate prices

OECD warned of a "rout" in Australian house prices

Which could leading to a new economic downturn

Housing prices and household debt have reached "unprecedented highs"

Full Report here