Our economy looks to be on firm footing this year, after a rocky few years

Westpac's February Economic Overview shows growth rose to 1.8 percent last year and could hit 3.3 percent this year, thanks to rising confidence, strong exports, and low short-term interest rates.

Chief Economist Kelly Eckhold says borrowing costs are likely to fall further, as many households switch their old mortgages to new, lower rates.

He adds interest rates are going to remain reasonably low for a decent period.