WA leads, Queensland catching up …in state growth race
Thu Feb 2 2012
The mining boom state of Western Australia continues to lead the nation's economic growth and is set to maintain its course.
But Queensland is on its way to catching up, underpinned by a strengthening resources sector and building reconstruction, Mr James from CommSec said.
Queensland's quarterly economic output was 19 per cent above its long term average and while that's well down on WA it's still well ahead of Australia's most populous state of NSW, which recorded a comparatively measly eight per cent - the weakest of all the states and territories.
Reserve Bank interest rate cuts in November and December should help housing activity across the nation, with Queensland and NSW most likely to benefit.
WA's economic output is now 28 per cent higher than its 10-year average, the latest quarterly State of the States report compiled by CommSec shows.
"Western Australia has consolidated its position as the nation's strongest economy," CommSec chief economist Craig James said in a statement.
Both Western Australia and Queensland are also doing well on retail spending and population growth.
|
