- Economic growth in WA outpaces the nation at 3.5 per cent in 202223
- Gross State Productper capita in WA the strongest of all Australian jurisdictions
- Sustained economic growth underpinned by strong domestic economy and trade
- GSP per capita exceeds $150,000 for the first time
Western Australia’s economy grew by 3.5 per cent in 2022-23, outpacing the national economy and growing at the fastest rate in nine years.
The State’s domestic economy (excluding exports and imports) grew by a stronger than expected 3.8 per cent in 2022-23 – the fourth consecutive year of growth, and above the long-run average.
Growth in the domestic economy has been underpinned by solid growth in household consumption, business investment, and Government investment – including the record $9.2billion Asset Investment Program delivered by the State Government in 2022-23.
WA’s nominal Gross State Product (GSP) per capita is more than 60 per cent higher than national GSP per capita at $157,390, reflecting the strong contribution that WA makes to the national economy. The figure also represents the first time GSP per capita has broken through the $150,000 mark.
Since 2018-19 the Western Australian economy has grown by 11.3 per cent, the only mainland State economy to grow in four successive years – highlighting the resilience of WA’s economy in the face of COVID and the more recent impact of higher interest rates.
Over this period, WA’s contribution to the national economy has accounted for 20.7 per cent of national growth, almost double the State’s population share(10.8 per cent), and second only to New South Wales that has around three times the population of WA.
WA’s strong economic growth is continuing to provide opportunities for WA families, with gross household disposable income per capita the highest of all States, at $62,539 – compared with $56,824 nationally.
The strength of WA’s economy in 2022-23 is also reflected in the strength of its employment growth (2.7 per cent or 40,000 persons), its low unemployment rate (averaging 3.5 per cent over the year), and strong Wage Price Index growth of 4.2 per cent in year-end terms to June quarter 2023.
As stated by Treasurer Rita Saffioti:
“Today’s State Accounts data highlights the strength of WA’s economy that continues to support the nation.
“Despite the significant economic headwinds of recent years, Western Australia’s domestic economy and trade performance has remained resilient thanks to the hard work of WA businesses and families and strong economic management by the WA Government.
“Importantly, our Gross State Product per capita was head and shoulders above the rest of the states and territories, highlighting the heavy lifting Western Australia does.
“Since pre-pandemic, Western Australia’s economy has grown by 11.3 per cent and has provided the second largest contribution to national economic growth, second only to New South Wales, despite them having three times WA’s population.
“These results further underpin Western Australia’s importance to the national economy – and the heavy lifting we do to support Australia’s bottom line.”
