Australia nearly two-thirds down mining cliff

Friday 28 October 2016

The ABS has released the annual national accounts to June 2016, which reported that Australia’s mining investment fell to 4.7% of GDP, down from a peak of 9.0% recorded in June 2013 (see next chart).

If we generously assume that mining investment bottoms-out at 2.0% of GDP – which is well above the 1.1% trough recorded in the mid-1970s – then Australia is only 61% of the way down the mining investment cliff.

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About the author

Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.