Following on from Westpac’s note on state-by-state growth, published this morning by Houses & Holes, below are some charts summarising the the growth in real gross state product (GSP) as reported yesterday in the Australian Bureau of Statistics (ABS) annual state accounts.
First, the below chart shows the change in real GSP and real GSP per capital in the year to June 2012 for Australia’s states and territories, as well as nationally:
As you can see, the resource states and territories have dominated the nation’s growth, with real GDP/real GDP per capita growing by 6.7%/3.7% in Western Australia (home to Australia’s iron ore industry), 4.4%/3.7% in the Norther Territory (where large scale gas projects are being developed), and by 4.0%/2.2% in Queensland (home to Australia’s coking coal industry). Their growth rates compare favourably to 3.4%/1.8% growth at the national level.
By contrast, the ‘non-resource states and territories’ – admitedly a loose definition in light of the fact that New South Wales has a significant thermal coal industry – each grew at below average rates over the year.
Taking a longer-term view, Western Australia and Queensland have dominated the nation’s growth, with each growing at rates well above the national average since 1990 (see below charts).
That said, real GSP per capita in Queensland remains -0.9% below the peak level reached in June 2008. It is also the only state or territory where growth per capita has failed to fully recover post-GFC.
Twitter: Leith van Onselen. Leith is the Chief Economist of Macro Investor, Australia’s independent investment newsletter covering trades, stocks, property and yield. Click for a free 21 day trial.
