Growth in Western Australia’s state final demand (economic output minus net exports) is trending upwards. Green shoots of growth are coming through, led by private and public investment. Business confidence has reached a seven-year high, bringing it to levels recorded during the state’s mining boom. The main weaknesses in the economy are housing and retail spending, despite consumer confidence being relatively high.
Overall the outlook for the Western Australia (WA) economy is positive. The next five years will see healthy levels of private and public sector investment that will ultimately filter through to consumers. After almost five years of economic darkness in which state final demand has been in decline, the sun appears to be rising in the west.