KGB: Paul Bloxham

HSBC's chief economist is upbeat about the Australian economy, saying the situation in Europe less dire than some are making out, but this week's rates cut was a prudent move.

HSBC's chief economist Paul Bloxham tells Business Spectator's Alan Kohler and Stephen Bartholomeusz:

Although Europe is experiencing a downturn it will not fall off a cliff and the region is not key to growth in Australia, which is driven by Asia.

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