Data from the Australian Bureau of Statistics on Wednesday showed real gross domestic product (GDP) rose 0.4% in the second quarter, slightly beating forecasts of 0.3%.
The world's 12th largest economy got a boost from net exports, with the return of students and tourists, and public investment.
"For all its challenges, the Aussie economy remains remarkably resilient," said Harry Murphy Cruise, an economist at Moody's Analytics.
Government consumption will also moderate from its elevated levels, and business investment will ease on the back of squeezed profits."
Household consumption, which used to be the engine of growth, remained subdued with just a 0.1% gain in the quarter due to spending on essential goods and services.
Persons:
Harry Murphy Cruise, Jim Chalmers, Chalmers, Sean Langcake, Stella Qiu, Jacqueline Wong, Lincoln
Organizations:
SYDNEY, Australian Bureau, Statistics, Moody's, Consumers, Reserve Bank of Australia, BIS Oxford, Thomson
Locations:
China