Reserve Bank of Australia Governor, Glenn Stevens is of the view that Australia is strong enough to handle the debt catastrophe that has gripped almost whole of the European region, and even if the situation deteriorates further, the nation is all set to take care of it.

The most recent reading of customer confidence that was released on Wednesday depicted that households are worrying about the wave effect from Europe's despair, which has led to a quick plunge in the Australian dollar and share prices.

But the central bank boss says that even if there is a steeper subsidiary effect from the EU catastrophe, Australia has the benefit of low Government liability, moribund budget deficits and a banking system that is well in shape with little contact with the difficulty European states.

Europe also is responsible for only 5% of Australia's exports.

Mr. Stevens said, while addressing a business function in western Sydney that the suppleness afforded by that nation's balanced currency, which is coupled with convincing financial and fiscal policies, are all advantages in phase of global doubt.

Even if the scenario gets any worse, the nation is ready to face the challenge with a sense of ease.