Western Australia has been named the top-performing economy in the nation for the fourth consecutive quarter, according to CommSec’s latest State of the States report. The report assesses each state and territory’s economic performance relative to its own decade average, considering eight key indicators such as retail trade, housing finance, business investment, and population growth.
South Australia experienced a notable surge in the rankings, climbing from fourth to second place in the July report. This improvement was primarily attributed to gains in construction activity and housing. Queensland maintained its position in third place, despite facing weather-related disruptions during the period.
CommSec chief economist Ryan Felsman highlighted WA’s strong performance across multiple economic measures. “WA led across several economic measures, taking first place in retail trade, housing finance, and business investment,” Felsman noted. “South Australia ranks first on construction work and dwelling starts.” He added that Australia’s overall economic performance was generally supported by factors like slowing inflation, falling interest rates, rising real wages, and robust government spending.
However, Felsman cautioned that growth was being limited by weak population gains, subdued household spending, and a slowdown in public investment. Elsewhere in the rankings, Victoria dropped from second to fifth, while New South Wales was tied for sixth place with the Australian Capital Territory.
