Upturn continues in diverse Queensland economy

Treasurer and Minister for Trade and Investment, Curtis Pitt, says figures released today by the Australian Bureau of Statistics show a continuing upturn in Queensland’s domestic economy. 

“The ABS figures show growth in State Final Demand for the December quarter of 0.5 per cent on a trend basis growth of 0.9 per cent seasonally adjusted,” Mr Pitt said. 

“The outcome for the December quarter means we have now seen positive growth in State Final Demand for four consecutive quarters – this is another encouraging sign that the Queensland economy has turned the corner after the failed LNP Newman government wreaked havoc across the state and left a legacy of negative growth. 

“The positive December quarter result is more hard data showing the positive results of the government’s economic plan.

“Domestic demand conditions in Queensland are improving and State Final Demand is 1.6% higher than a year earlier. 

“This result shows an increase in household consumption drove the solid outcome in the December quarter and was backed up with construction of new dwellings which rose 1.1 per cent and total dwelling investment was 3.2 per cent higher over the year, reflecting the strong growth in construction work done on medium‑to‑high density dwellings. 

“A strong pipeline of housing work yet‑to‑be‑done suggests ongoing strength in Queensland dwelling investment in 2016-17, business investment rose 0.9 per cent in December quarter 2016.” 

Mr Pitt said State Final Demand was a key measure of the state’s domestic economy and unlike Gross State Product it did not take into account our trade performance. 

“The figures show that growth in our domestic economy was supported in part by our major investments in infrastructure — a key part of our economic plan,” he said. 

Mr Pitt said unlike Gross State Product, as an economic indicator State Final Demand did not take into account the impact of Queensland’s exports and imports. 

“Nevertheless, Queensland’s trade performance continues to be strong,” he said. 

“The most recent export data shows a record level of exports from Queensland of $52 billion in 2016 — that’s 7.9 per cent higher than in 2015. 

“That’s also $1 billion a week in export revenue across all regions of our state.” 

Mr Pitt said that Queensland was continuing to transition to a post-mining boom economy and some sectors and regions were making that change easier than others. 

“As this transition continues, our economic plan will continue to deliver for Queensland – and for Queenslanders,” he said. 

“Our plan aims to boost regional economies and grow regional jobs, as well as diversify our already diverse state economy. 

“That diversity is one of the great strengths of the Queensland economy. 

“If one sector of the economy is experiencing a downturn, others can be growing strongly to fuel the nation-leading growth we are forecast to experience," he said. 

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