Following the release of today's GDP data, Mr Frydenberg was asked by a journalist in parliament, "Is Australia in recession today?"

"Well, the answer to that is yes," Mr Frydenberg said.

"And that is on the basis of the advice that I have from the Treasury Department about where the June quarter is expected to be."

Mr Frydenberg said that while the March quarter saw a 0.3% drop in GDP, he expects the June quarter will see a much more substantial fall.

"Based on what we know from Treasury, we're going to see a contraction in the June quarter which is going to be a lot more substantial than what we have seen in the March quarter," Mr Frydenberg said.

"The economic impact will be severe. Far more severe than what we have seen today. That's what Treasury's advice to me is."

Need somewhere to store cash and earn interest? The table below features introductory savings accounts with some of the highest interest rates on the market.

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BankSavings AccountBase Interest Rate Max Interest Rate Total Interest Earned Introductory Term Minimum Amount Maximum Amount Minimum Monthly Deposit Minimum Opening Deposit ATM Access Joint Application TagsFeaturesLinkComparePromoted ProductDisclosure
4.20% p.a.
4.95% p.a.
Intro rate for 4 months
then 4.20% p.a.
$472
4 months
$250,000
$99,999,999
$0
$0
  • Special offer: Savings Accelerator (Kick Starter offer).
  • For a limited time, new ING customers can get a bonus 0.75% p.a on their savings rate balances of $150,000 up to $500,000 for the first 4 months. T&Cs apply.
  • If your balance is over $500,000 (but less than $5 million) you will earn the ongoing variable rate of 4.20%
 Disclosure
3.70% p.a.
5.15% p.a.
Intro rate for 4 months
then 3.70% p.a.
$469
4 months
$0
$249,999
$0
$1
  • Bonus rate for the first 4 months from account opening
  • No account keeping fees
  • No minimum balance
 Disclosure
0.00% p.a.
Bonus rate of 4.85%
Rate varies on savings amount.
4.85% p.a.
$490
–
$0
$99,999
$0
$0
  • *Score $20 using code SWIPE20
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  • Deposit $500+ per month from an external source to earn the bonus interest.
  • Tiered rates apply to savings balances.
 Disclosure
0.20% p.a.
Bonus rate of 0.00%
Rate varies on savings amount.
4.50% p.a.
Intro rate for 4 months
then 0.20% p.a.
$308
4 months
$0
$99,999,999
$0
$0
0.20% p.a.
Bonus rate of 0.00%
Rate varies on savings amount.
4.50% p.a.
Intro rate for 4 months
then 0.20% p.a.
$308
4 months
$0
$99,999,999
$0
$0
2.80% p.a.
4.35% p.a.
Intro rate for 4 months
then 2.80% p.a.
$385
4 months
$0
$99,999,999
$0
$1
0.00% p.a.
Bonus rate of 3.85%
Rate varies on savings amount.
3.85% p.a.
$388
–
$0
$99,999,999
$0
$1
3.95% p.a.
3.95% p.a.
$398
–
$500,000
$99,999,999
–
$0
0.10% p.a.
Bonus rate of 3.70%
Rate varies on savings amount.
3.80% p.a.
$383
–
$250,000
$499,999
$100
$1
0.01% p.a.
Bonus rate of 4.74%
Rate varies on savings amount.
4.75% p.a.
$480
–
$0
$99,999
$100
$0
1.00% p.a.
4.30% p.a.
Intro rate for 3 months
then 1.00% p.a.
$266
3 months
$0
$99,999,999
$0
$0
0.10% p.a.
Bonus rate of 4.50%
Rate varies on savings amount.
4.60% p.a.
$464
–
$0
$99,999
$100
$1
More savings accounts
  • Bonus variable rate for the first 4 months on balances up to $250k and high variable ongoing rates.
  • No fees and no monthly requirements to earn interest.
  • Easily open an account online in 3 minutes.

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Important Information and Comparison Rate Warning

All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of . View disclaimer.

Important Information and Comparison Rate Warning
  

The popular definition of a recession is two consecutive quarters of negative economic growth and it appears Treasury does not need to wait until the June quarter to state the obvious. 

It marks the first time Australia has entered into a recession since the 1990s. 

The Australian Bureau of Statistics on Wednesday said a collapse in consumer spending had contributed to the result.

“This was the slowest through-the-year growth since September 2009 when Australia was in the midst of the Global Financial Crisis and captures just the beginning of the expected economic effects of COVID-19," ABS Chief economist Bruce Hockman said.

More to come...

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