Treasurer Joe Hockey insists the latest growth figures are in line with his budget forecasts and come at a time when other commodity-based countries are in recession.
The latest national accounts showed the economy grew by just 0.2 per cent in the June quarter, half the rate expected by economists and for an annual growth rate of two per cent.
"The diversity and flexibility of the modern Australian economy is continuing to get us through the recent massive falls in commodity prices," Mr Hockey told reporters in Sydney on Wednesday.
The treasurer cited a number of one-off factors, including a seven per cent fall in mining exports because of port closures forced by bad weather, for the worse-than-expected growth figure.
Mr Hockey said business confidence had picked up since the May budget with conditions outside the mining sector at their highest levels in almost five years.
"I tell you what, the Australian economy is showing a deep resilience that people in Canada and elsewhere would die for," he said.
Canada overnight reported that it now officially had fallen into recession.
New Zealand had a growth rate of 0.1 per cent in the March quarter and was facing significant headwinds, Mr Hockey said.
Other commodity-based economies like Brazil were also facing huge challenges.
The treasurer noted "some degree of volatility" on global equity markets, saying Australia could not afford to be complacent.
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