Western Australia (WA) has been doing tremendously well on the front of economy and even while as many as 19,800 employment opportunities were there in the region in the December quarter 2017 making it a perfect place in Australia to hunt for fulfilling job opportunities.
The region’s average annual adult full-time total wages were 12% ($9,875) above the Australian average of $83,491 during 2016-17. It shows that in this part of the Kangaroo Land you may look forward to earning comparatively more, vis-à-vis other areas in the country.
What’s more: as per the updates available, WA accounted for as high as 19% of the nation’s business investment in 2016-17. What does it mean? Well, it means it is a haven for the investors keen to make profitable investment in Down Under.
Now let’s figure-out the key economic updates on WA under these heads, in detail, to delve deeper into economic scenario in the region, and know what the future has in its womb for this region and those who decide to move to it.
Here we go!
The Economy
Let’s begin with economy!
As per the available information, in 2016-17, the region had a Gross State Product (GSP) of $247.7 billion even as this was 14% of the nation’s total Gross Domestic Product (GDP). The GSP per capita of $96,466 in 2016-17 was 34% more than the nation’s GDP per capita of $71,971.
Goods producing businesses were behind 47% ($115.8b) of GSP during 2016-17, succeeded by the services businesses (43% or $105.5b), besides dwelling possession and other things (11% or $26.4b).
The contribution of a business to real GSP growth is dependent on the real improvements made to its gross value added and its total stake in the GSP. Fishing, Agriculture, and Forestry gross value added jumped 24% in 2016-17, in the process, making a contribution of 0.5 percentage points to the real GSP growth.
Improvements in export costs, relative to import costs (terms of trade), have a bearing on the gross state income (GSI) and is behind the difference between changes in the GSI and the GSP. The terms of trade of WA increased to 13% in 2016-17.
The region’s populace of 2.58 million in 2016-17 was 10% of the nation’s total people while the populace rise of 0.8% (21,403) in 2016-17 was less than the yearly average growth of 2.1%, over the preceding decade.
LABOR MARKET
The region’s total employment jumped by 6,066 to 1.34 million in December 2017, with swelling part-time employment (up 6,953 to 436,037) counterweighing decreasing full-time work (down 887 to 908,502).
The Government Mid-Year Financial Projections Statement for 2017-18 predicts yearly average employment jump of 2% in 2017-18 and 1.5% during 2018-19.
While the services businesses were at the back of 73% (979,898) of the total employment in the December quarter 2017, goods-producing businesses were at the back of 27% (357,766).
In the December quarter 2017, SA had 19,800 employment opportunities, and this is 500 more, vis-à-vis what one saw in the preceding quarter and 2,100 more than a 1 year back.
The region’s rate of unemployment of 5.7% in December 2017 was less than the 6.6% during the preceding month and 6.5% a year back.
Average annual adult full-time total wages jumped 0.01% to $93,366 in 2016-17. The region’s average annual adult full-time total incomes were 12% ($9,875) more than the national average of $83,491 during 2016-17. It clearly shows workers are making more money here.
INVESTMENT
WA was behind as high as 19% of the country’s business investment in 2016-17.
While the region was behind an astonishing 57% of the country’s mining new capital outlay in 2016-17, mining was behind as high as 77% of the region’s private new capital outlay in 2016-17.
The region was behind 66% of the country’s total minerals exploration spending and 47% of its petroleum exploration spending in 2016-17.
PROPERTY MARKET & CONSTRUCTION ACTIVITY
The median established house price of Perth decreased 1% to $500,000 in the September quarter 2017. The same nose-dived 3% through the year to the September quarter last year.
While the residential building movement dropped 26% to $6.6 billion in 2016-17, the non-residential building action decreased 5% to $4.5 billion during 2016-17.
MERCHANDISE EXPORTS
The region was behind an astonishing almost half (43% to be precise) of the nation’s total merchandise exports in 2016-17.
SERVICES EXPORTS
WA was behind 8% of the country’s services exports in 2016-17 (9% in 2016) even while the services exports in 2016-17 largely included education-related travel (28%), and more importantly, personal travel (34%).
Tourism was behind 2% ($5.5 billion) of the GSP and 5% (72,000) of total engagement in 2015-16. Overnight guests decreased 4% to 10.4 million in 2016-17, vis-à-vis yearly average jump of 4% over the previous decade. However, international guests swelled 9% to 965,900 in 2016-17.
MINING
WA is the chief minerals and petroleum exporting area of the nation and produces a noteworthy amount of the world’s minerals and petroleum supplies. And, so no wonder, WA was behind as high as 56% of the country’s total mining gross value added in 2016-17.
