Anthony Albanese held “warm and cordial” talks with the outgoing US president, exchanging gifts with Joe Biden at his personal home ahead of a summit focused on strategic partnerships in the Indo-Pacific region.
The prime minister is in the US state of Delaware for the Quad’s fourth in-person meeting with leaders from the US, Japan and India.
However, just hours earlier, a former economic adviser to Barack Obama criticized Albanese for making misleading statements about the U.S. economy.
When the Prime Minister of Australia was asked about the US Federal Reserve cutting interest rates by a whopping 50 basis points, the author got the basic economic data wrong.
“Because the economy is so slow, that’s why (the US) is cutting rates,” Patricia Karvelas told ABC Radio’s national broadcaster on Thursday.
However, the US economy is booming compared to Australia’s: its gross domestic product is set to grow 3 percent in the year to June 2024.
In contrast, Australia’s economy grew just 1 percent in the last financial year, sinking to levels not seen since a recession.
This was the slowest annual growth since 1991 outside of a pandemic, thanks to the Reserve Bank of Australia’s 13 interest rate hikes.
Mr Albanese is in the US for the Quad leaders’ summit, which is also being attended by the Indian and Japanese leaders (pictured with outgoing US President Joe Biden).
Mr Albanese was welcomed at Joe Biden’s private residence (pictured with Australian Ambassador to the US Kevin Rudd, left, and US Secretary of State Antony Blinken, right)
Betsey Stevenson, who was a member of the Obama administration team The Council of Economic Advisers criticised Mr Albanese for taking the wrong approach to the US Federal Reserve’s first rate cut in four years.
“This shows he is not listening to the people around him who know anything about macroeconomics,” he wrote on X, linking to a story by Daily Mail Australia political editor Peter van Onselen.
The Quad summit may be a “last victory lap” for Biden, but Australia will still have a crucial role to play, experts say.
While security and stability in the Indo-Pacific will dominate discussions, the summit will be the last attended by the outgoing US president.
Mr. Albanese said it was a privilege to spend time with Mr. Biden on Friday evening ahead of a meeting of Quad leaders.
“It was a very warm and motivating discussion… a discussion between allies and a discussion between friends,” Albanese told reporters.
‘I understand that it was the first time that a foreign leader met him at his home, so I consider it a great honour.
The pair exchanged gifts — a leather Air Force jacket for Biden and a book about the Catholic high school the president attended for the prime minister, where the pair will meet with Indian Prime Minister Narendra Modi and Japanese Prime Minister Fumio Kishida on Saturday.
During the 90-minute meeting, ahead of the US presidential election, defence and security cooperation in the Indo-Pacific and the AUKUS partnership were discussed, including Australia’s progress towards a nuclear-powered submarine fleet.
Albanese is the first leader of a foreign country to be invited to Biden’s private residence in Delaware rather than the White House.
The pair (pictured) discussed economic and security ties in the Asia Pacific region.
Mr Albanese said there was deep support across the political spectrum for the AUKUS partnership.
“I have no doubt that AUKUS will continue to enjoy the support of any future US administration,” he said.
Economic issues such as inflation and supply chains were also discussed, along with climate action and clean energy.
The couple also discussed the current conflicts in Ukraine and the Middle East.
Regional challenges will be the focus of future discussions during the Quad meeting.
The Quad had provided a united front to the region despite the perception that it had not delivered tangible results, said Susannah Patton, director of the Lowy Institute’s Southeast Asia Programme.
“The Quad is in many ways the centrepiece of the Biden administration’s Indo-Pacific strategy, so it’s important for the US that they do this final victory lap and end on a high note,” he told AAP.
While Australia may be the smallest nation in the Quad, Ms Patton said it would have a pivotal role given its proximity to Pacific nations and China.
The Quad Summit will also be held in Wilmington, Delaware, instead of Washington.
The upcoming Quad meeting will not be much different from previous summits, but it is important for the group to demonstrate real results, said Tom Corben, a researcher at the Center for American Studies.
“The assessment of the Quad as a bellwether for US strategy in Asia may be overstated,” he told AAP.
“The time for flashy statements has passed; it is time for concrete actions.”
Biden dropped out of the presidential race and endorsed Vice President Kamala Harris in July amid criticism over his age and concerns about his health as he sought another four-year term.
Mr Albanese said it was an interesting meeting with the 81-year-old American politician.
“He is fit, he is fully aware of his duties and it is a great privilege to spend time with him,” he said.