- Western Australia’s domestic economy grew by 3.2 per cent over the year to the March quarter 2026, outpacing national growth of 2.9 per cent
- Private demand expanded by 4 per cent, the fastest growth of all states and accounting for more than 90 per cent of total domestic growth
- Household consumption grew at the fastest pace in the nation
- Business investment continues to grow strongly, accounting for almost a fifth of business investment nationally
- Dwelling investment increased 9.2 per cent, the highest levels in nine years
- WA economy recording fastest growth in the nation over the past five years
Western Australia’s domestic economy grew by 3.2 per cent in the year to the March quarter, again outpacing national growth, new ABS national accounts data has revealed.
The State’s domestic economy has grown by 27 per cent over the last five years, the strongest of all states and territories and well above the national rate of 21 per cent.
The private sector continues to drive growth in WA, expanding by 4 per cent over the year to the March quarter 2026, the strongest growth of all states and territories.
Growth in private demand accounted for 93 per cent of total economic growth – the highest share of any state – representing strong business and household confidence in WA’s economy.
The strong private sector economic growth is flowing through to the labour market, with the private sector also driving strong employment growth.
Household consumption grew by 3.3 per cent over the year to the March quarter, the strongest in the nation, continuing to outpace national growth of 2.5 per cent.
Business investment expanded by 5.3 per cent over the past year to reach $63.5 billion, its highest level since 2015-16.
Western Australia’s business investment accounted for around 20per cent of business investment nationally – well above the State’s population share.
Dwelling investment rose 9.2 percent to $13.6 billion in the year to the March quarter 2026, representing the highest growth in the nation.
This demonstrates strong results in housing delivery with more homes being built in WA as well as alterations and additions to existing properties.
ABS data released on Tuesday shows the number of new home approvals in WA accelerated by 8.7 per cent to more than 25,000 homes over the year to April 2026, including 4,950 approvals of multi-residential homes.
Government investment declined by 11.5 per cent after the completion of a range of major infrastructure projects including key METRONET projects, while government consumption increased by 4.3 per cent.
Comments attributed to Treasurer Rita Saffioti:
“Western Australia’s economy continues to outpace and power the nation.
“Importantly, the private sector remains the dominant driver of growth in WA accounting for 93 per cent of our State’s economic growth – the highest of any state or territory.
“Growth in spending by Western Australian households is also the fastest in the nation, while business investment accounts for around one-fifth of national investment.
“These strong results show the Cook Labor Government’s commitment to strong economic and financial management is laying the foundations for the private sector to thrive, so it can continue to deliver quality jobs for Western Australians and keep our economy resilient.”
