WE’RE FLYING

State economy fastest growing in nation but many miss out

TASSIE’S ECONOMY TOPS NATION

TASMANIA has the fastest growing economy in the country, new data reveals.

The release yesterday of the Australian Bureau of Statistics’ gross state product data showed the state had recorded its strongest growth in 15 years.

Tasmania’s GSP grew 3.6 per cent during the 2018-19 financial year, which was almost double the national rate of 1.9.

“This extraordinary result is the first time since the [data collection] series began in 1989 — 30 years ago — that Tasmania’s economy grew the fastest in the nation,’’ Treasurer Peter Gutwein said.

“In another series first for Tasmania, all 19 industry sectors grew throughout the year, meaning that our economic success is diverse and broadbased, benefiting our businesses, right around the state, and creating jobs.

“This extraordinary outcome demonstrates the resolve and commitment of the Government to grow our economy and create jobs, so that we can invest record amounts into essential services and infrastructure for our booming state.

“Our plan is clearly working, but we know there is more to do to ensure that all Tasmanians can share in our newfound economic prosperity.”

The state’s GSP was its strongest since 2003-04, the ABS said.

Victoria and the ACT joined Tasmania in having a higher growth rate than the national average. The ABS said healthcare and social assistance was the largest industry in Tasmania and accounted for 13 per cent of total industry gross value added. Construction experienced the highest growth under that measure, though, with an 8.8 per cent increase across the financial year.

The ABS said this reflected ongoing investment in infrastructure, including investment in accommodation buildings, which reflected high demand from tourism.

An analysis of the data from CommSec said building activity had been strong in the state for residential homes and government-funded infrastructure. It said Tasmania’s population growth had hit a 28year high at 1.24 per cent over the year to December last year.

In his state of the state address last month, Premier Will Hodgman acknowledged the state’s strong economy but admitted too many Tasmanians were not directly benefiting from it.