CommSec’s ‘State of the States’ economic report released today shows South Australia’s improved economic growth, employment and level of construction work done has seen the state’s rank lift to fourth overall, up from fifth spot in the previous report.
The Marshall Government has welcomed the report as further evidence of SA’s strong recovery from the depths of the global COVID-19 pandemic.
CommSec attributed SA’s rise to increased economic activity in the March 2021 quarter, which was 12.9 per cent above our decade average.
CommSec also highlighted strong dwelling starts in South Australia, which were at a 36-year high in the March quarter.
South Australia’s relative unemployment ranking rose from fifth to fourth place, with the state’s seasonally adjusted unemployment rate down 16.7 per cent on the decade average, (or 1.0 percentage point).
South Australia rose from fourth to third ranked on construction work done, with construction work done in the March quarter 12.5 per cent above the decade average.
Equipment investment such as spending on new plant and equipment was also up 7.3 per cent on the decade average.
Treasurer Rob Lucas welcomed the report which outlined further positive signs that the South Australian economy will continue to recover strongly from the global pandemic.
“This report comes hot on the heels of recent strong payroll jobs data from the ABS which saw SA leading the nation for its strong jobs rebound since the depths of the pandemic, along with the state’s merchandise exports reaching a new record high,” Mr Lucas said.
“Consistent with CommSec’s report, we’ve also seen the recent Deloitte Access Economics Business Outlook forecast housing construction to keep tracking well in SA, along with encouraging signs of business improvement, supported by the State Government through payroll and land tax relief and deferrals.
“These reports follow special Roy Morgan analysis showing SA’s management of COVID-19 had been ‘top of the class’, new home build starts at near record highs, and the recent NAB Business Survey showing SA has the highest business confidence in the nation.
“However, we know there are challenges posed by the current lockdown, which is why we announced the new Business Support Package last week – worth about $100 million – which will assist an estimated 50,000 eligible SMEs across the state, from gyms, hairdressers and nail salons to restaurants, cafes, and hotels, affected by the necessary heightened restrictions to help stop the spread of the highly-contagious COVID-19 Delta variant.
“We know there is much more to be done to ensure our ongoing economic recovery continues in 2021, and that’s why the Marshall Government is doing everything in its power to save as many jobs and businesses as possible during this challenging time.”