CommSec State of States report – 28 January 2020
Each quarter CommSec attempts to find out how the Australian states and territories are performing by analysing eight key indicators: economic growth; retail spending; equipment investment; unemployment; construction work done; population growth; housing finance and dwelling commencements.
Just as the Reserve Bank uses long-term averages to determine the level of “normal” interest rates; CommSec have done the same with the economic indicators. For each state and territory, latest readings for the key indicators were compared with decade averages – that is, against the “normal” performance.
Now in its 11th year, the ‘State of the States’ report also includes a section comparing annual growth rates for the eight key indicators across the states and territories as well as Australia as a whole. This enables another point of comparison – in terms of economic momentum.
Victoria remains Australia’s best-performing economy, leading the overall economic performance rankings. Victoria ranks first on economic growth, retail trade, equipment investment and construction work done. Victoria’s lowest ranking is fourth on relative population growth and housing finance.
Tasmania remains just in front of NSW in second position on the performance rankings. Tasmania is ranked first on relative population growth and dwelling starts and is in second spot on housing finance.
NSW is consistently strong across the indicators and is second or third on six of the eight indicators. There is little to separate NSW and Tasmania on the overall rankings.
The ACT is solidly in fourth spot on the rankings. The ACT is ranked first on housing finance and relative unemployment and second ranked on equipment investment.
Queensland retains fifth position on the economic performance rankings. Queensland is second ranked on relative population growth and third ranked on relative economic growth. But Queensland is fifth or sixth on five of the eight indicators.
South Australia is in sixth position on the performance ranking. South Australia is third ranked on relative population growth and fourth on construction work done.
Western Australia retains its seventh position on the economic performance rankings and continues to edge away from eighth-ranked Northern Territory. Western Australia is sixth or seventh on all indicators except relative economic growth where it is in fourth position.
The Northern Territory is seventh-ranked on relative economic growth but lags all other states and territories on the other seven indicators.
Click here for a full copy of the CommSec State of State January 2020 Report.
