Retail spend on the up as economy 'gets into shape'

People feel more confident about spending money, it has been suggested.

Australians appear increasingly willing to spend money and they could well be turning to their credit cards in order to fund such purchases.

Speaking to the Daily Telegraph, Russell Zimmerman, executive director of the Australian Retailers Association, points out that recent months have seen a rise in the amount of money being spent in the nation's restaurants and cafes.

Indeed, figures from the Australian Bureau of Statistics have revealed a 23.6 per cent rise in sales in the 12-month period leading up to September.

"It's the first area to be affected in a downturn, so it's a very good sign the economy is getting into good shape," he states.

Meanwhile, Gerry Harvey, chairman of furniture retailer Harvey Norman, states that this year "will be the biggest Christmas ever" in terms of consumer spending.

Aussie credit card consumers keen on funding this festive season on plastic may want to seek out a product that offers an interest free period deal on purchases.

Meanwhile, figures from the Reserve Bank indicate that credit transactions over the course of September stood at $19.246 billion, up from the $18.869 billion recorded in August.

By Emma North