The OECD has named house prices as the biggest domestic threat to economic growth as new figures push annual growth to its lowest point since the global financial crisis.

The Australian economy grew just 1.7 per cent in the 12 months to March, down from 3 per cent three years earlier. The result is the worst since the 1.2 per cent recorded during the depths of the financial crisis in September 2009.

Gross domestic product grew 0.3 during the March quarter after growing 0.7 per cent, falling 0.4 per cent and growing 1.1 per cent in the four quarters before that.

"It has been very lumpy," said Treasurer Scott Morrison. "It's what I would describe as modest growth."