Cash splash spurred by strong data

TASMANIANS are feeling increasingly confident about spending their money after some long- awaited positive signs for the state’s economy in recent weeks.

The latest Commonwealth Bank Business Sales Indicator shows spending on credit and debit cards has risen nationally for the eighth straight month.

All states and territories recorded a rise in sales across April and in annual terms, Tasmania had the third highest growth (up 8 per cent) behind South Australia (12.4 per cent) and the Australian Capital Territory (9.7 per cent), but ahead of mining boom states Queensl a n d (7.1 per cent) and Western Australia.

This follows the latest Tasmanian Survey of Business Expectations earlier this month that found business confidence is at its highest point in two years.

New car sales are also up 21 per cent over the past year.

Tasmanian Chamber of Commerce and Industry chief economist Phil Bayley said the Commonwealth Bank Business Sales Indicator figures are in line with rising expectations but there are still some steps to go before an economic turnaround for the state.

‘‘The T a s manian results are consistent with the improving business confidence, particularly the Tasmanian Survey of Business Expectations and consumer sentiment, and small signs of improving economic data, that have been apparent in recent months,’’ Mr Bayley said.

‘‘It is too early to say the economy, that has been anaemic for some time, has turned but the BSI points in the right direction and a strong effort from the Government to regain savings momentum will help the economy recover.’’