Victoria’s economy is going strong, with figures released today revealing that in 2014-15 the real gross state product increased by 2.5 per cent, exceeding the 2015-16 Budget estimate of 2.25 per cent.
The strong growth in economic activity in 2014-15 was significantly faster than the pace recorded in 2013-14 of 1.0 per cent, which was revised down from 1.7 per cent.
Victoria’s real GSP growth is now the highest of the non-mining states, behind only Western Australia at 3.5 per cent, and above Australian real GDP growth of 2.3 per cent.
This is the first year since 2008-09 that Victoria has recorded stronger growth than New South Wales.
The strong growth numbers are consistent with strong performance throughout the Victorian economy.
Since the Andrews Labor Government came to power, the Victorian economy has created more than 73,000 jobs and unemployment has fallen to 5.6%.
Economic growth has been driven by strong business investment (up 6.7 per cent), dwelling investment (up 6.4 per cent), household consumption (up 2.3 per cent) and strong growth in business non-dwelling construction (up 14.1 per cent).
The Victorian economy’s current performance is in stark contrast the economic management of the previous Liberal Government, where it failed to even meet the then Government’s own budget forecast for growth.
Quotes attributable to Treasurer Tim Pallas
“These strong growth figures show that confidence is returning to Victoria after four years of inaction and inertia.”
“We came to office with a commitment to get Victoria moving again and less than a year later, we’re well on our way.”
“Since the Andrews Labor Government came to power, more than 73,000 new jobs have been created, economic growth has doubled, and consumer sentiment, business sentiment, and business investment are all up.”