IMF praise strong Australian economy

Federal Treasurer Peter Costello has welcomed a report from the executive board of the International Monetary Fund (IMF) which says the way Australia's economy is managed at the forefront of international best practice.

The IMF's annual assessment concluded that Australia's strong economic performance is likely to continue, with growth of about 4 per cent predicted for the rest of 2007.

However, the report noted that while the country is well placed to deal with long-term fiscal challenges, more attention needs to be given to the efficiency in healthcare spending.