Australia’s Key Economic Indicators
Australia’s economy has successfully bounced back from recession and is now undergoing a phase of expansion. This transition is taking place at a higher momentum than expected, reflecting economic resiliency. Rigorous policy imposition and tougher virus containment measures have created a favorable outcome for the country. Therefore, as the restriction got eased, the economic recovery took off with an astounding and admirable speed. As of the data until 4 June 2021, the key economic indicators for the fiscal year 2020-2021 are as follows:
- The GDP has grown by an average rate of 1.1%.
- The unemployment rate is 5.5% and the employment growth is 5.1%.
- The inflation rate is 1.1%.
- The exchange rate has appreciated.
GDP Growth
With vaccine rollout and smarter covid restrictions, the world economy is also slowly recovering, which is expected to further stimulate the economic growth of Australia. According to the Reserve Bank of Australia (RBA), it is anticipated that the GDP will grow by 5% for the 2021-2022 fiscal year. As the Australian government is creating a favourable business environment by attracting global talents and investments, it is expected that will help boost the growth. In fact, the number of places under the Business Innovation and Investment Program (BIIP) has almost doubled.
Below is a snapshot of output share by state.
| State | Output share (in %) |
| New South Wales | 32 |
| Victoria | 24 |
| Queensland | 18 |
| Western Australia | 16 |
| South Australia | 6 |
| Tasmania | 2 |
Data Source: RBA (https://www.rba.gov.au)
The output contribution of major industries as follows:
| Industry | Output share (in %) |
| Health and Education | 13 |
| Mining | 11 |
| Finance | 9 |
| Construction | 8 |
| Manufacturing | 6 |
Data Source: RBA (https://www.rba.gov.au)
This industry share of output contribution also reveals crucial information regarding areas where qualified workers and investments are required. Therefore, the Global Talent Independent (GTI) Program has been introduced to attract highly skilled professionals in these high-growth sectors. In 2020-2021, there are 15,000 places available to grab under this program.
Employment Sector
Following massive unemployment and job cuts, the Australian labour market is well ahead on its way to recovery.
- The unemployment rate has been consistently falling.
- The employment grew incredibly at 5.1%.
- With the participation of 66.2%.
- Leading to a wage growth of 1.5%.
- With the weekly average earning being AUD 1,280.
The number of hours worked is beyond the pre pandemic levels, and it is expected that the strong momentum in activity will further lower the unemployment rate to 4.5 % by mid 2023. This suggests a strong labour demand.
The major industries with the number of employment until May 2021 are as follows:
| Industry | Number of Employment (in million) |
| Health Care and Social Assistant | 1.83 |
| Retail Trade | 1.30 |
| Professional, Scientific and Technical Services | 1.24 |
| Construction | 1.15 |
| Education and Training | 1.14 |
| Manufacturing | 0.9 |
Data Source: Labour Market Information Portal (https://lmip.gov.au)
The major occupation with the number of employment until May 2021 are as follows:
| Occupation | Number of Employment (in million) |
| Professionals | 3.34 |
| Technicians and Trades Workers | 1.76 |
| Clerical and Administrative Workers | 1.73 |
| Managers | 1.68 |
| Community and Personal Service Workers | 1.35 |
Data Source: Labour Market Information Portal (https://lmip.gov.au)
The National Skills Commission (NSC) annually analises and generates reports on skills that are required and demanded in Australia. Therefore, if someone’s skills lie in the Skills Priority List, they can apply for a visa to come and work in Australia.
If you are looking to migrate, invest or study in Australia and unsure where to start, then we recommend that you see professional consultation. At Path Migration, we have a team of immigration lawyers who are specialists in this field. If you would like to get an evaluation on your personal circumstances or have any questions, don’t hesitate to contact us.
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