Former Albanese adviser has a point on growth

A former economics adviser to the Prime Minister, Alex Sanchez, has criticised the government for lacking a pro-growth mindset.

The most commonly cited measure of economic growth is GDP per capita, as it adjusts growth for population increase. A purer measure is GDP per hour worked, but politicians tend to focus on GDP per capita.

As of the March quarter 2026, real GDP per capita fell by 0.1%. It also fell by the same amount in the March quarter of 2025.

Over the current decade, the real average quarterly growth rate has been just 0.18%, below the long-run average of 0.37%. The 1990s recorded the highest decade average, at 0.56%.

Of all Australian prime ministers since the 1970s, real GDP per capita growth under Anthony Albanese has been the lowest, averaging just 0.1% per quarter. The next lowest average was recorded under Kevin Rudd, while Paul Keating recorded the highest.

Average growth rates are influenced by many factors and cannot solely be attributed to the person holding the office of prime minister at the time. However, with growth performing so poorly, Alex Sanchez has a point that it should create a sense of urgency for the government to do something about it.

See charts below.

By Prime Minister

By decade