Retail in Asia

In Markets

Time for retailers to shine in Australia

After getting the equivalent of manna from heaven with a rate cut and stimulus package to small businesses in Australia, an emboldened retail sector is set to ramp up its lobbying of the GST-free threshold on overseas products.

In the past few days retail stocks have returned to favour on the back of a Federal Budget that threw an AUD5.5 billion (USD4.4b) stimulus package to more than two million small businesses. The share prices of companies including Myer, Dick Smith, JB Hi-Fi and GUD Holdings have all soared in the past few days.

The renewed interest is also being propelled by speculation that within the next 12 months the Federal Government will introduce GST for online purchases under AUD1000.