Queensland growth still going strong

Premier Anna Bligh and Treasurer Andrew Fraser have affirmed Queensland’s position as an economic powerhouse, revealing an annual growth rate of 5.1 per cent in 07-08.

Treasurer Fraser today tabled in parliament the Report on State Finances for 2007-08, which include the audited accounts for last financial year, as well as the Annual Economic Report for 2007-08.

“The tabling of the Annual Economic Report for 07-08 today affirms that Queensland has once again outpaced the national economy,’’ he said.

“Our growth of 5.1% is testament to the prosperity, and flexibility of the modern Queensland economy.

“The June quarter state accounts released today make clear, sustained business investment, residual strength in the housing market and growth in exports into the last quarter saw our year end growth figure lift beyond the 3.75% estimated at Budget.

Premier Bligh said the result placed Queensland in the box seat to achieve the Bligh government’s goal under Q2 to have Australia's strongest economy.

“The modern Queensland economy has the benefit of a booming commodities sector, but is not overly reliant on just one sector. That's our real strength as we face an uncertain future,’’ she said.

“Our growth delivered a 34-year low, year-average unemployment level of 3.7%, Another key goal from our Q2 vision is to halve the number of children being raised in homes without a working parent.

“This comes as jobs growth created around 60,000 jobs and more Queenslanders than ever were part of the labour force. It is the lowest rate recorded since 1973-74 - and a full half percentage point below the national rate.

“The Bligh government's commitment to managing our state finances and our economy is clear. These reports back it up, and demonstrate that in times of uncertainty, our state needs a team with a proven track record.’’

However Mr Fraser warned that Queensland now faced a far more challenging global economic environment this financial year.

“We arrive with a head of steam, but the community should not fall for the notion that we are an island state barricaded against global turmoil.

“We find ourselves in a stunningly different environment just four months into the 08-09 financial year.

“Next month the Reserve Bank will publish updated growth forecasts as with the Federal Treasury. I have commenced work early on the Mid Year Review in light of changing circumstances.

Mr Fraser said that while the world’s economy was precariously positioned, Queensland’s $809 million surplus was put in place to guard against downside uncertainties.

“It is this government that stands before the people of Queensland with a track record of strong financial management.’’