AUSTRALIA

Australia is “beginning to emerge from the pain and hardship of recession,” according to Prime Minister Bob Hawke. In a speech before a labor union conference, Hawke said, “The first signs of renewed activity and confidence are starting to emerge.” Inflation, currently at 4.9%, is below the Organization for Economic Cooperation and Development’s average, he said, “and with further falls in prospect.” Hawke said the nation’s balance of payments “has improved substantially,” aided largely by “a massive turnaround in the trade balance.” Imports have fallen due to weaker demand in the economy, and exports--8% higher than a year ago--continue to grow, while manufacturing exports are up 24% from a year ago, he said.