Growth was largely driven by strong private investment in data centres and technology infrastructure, particularly in New South Wales. However, severe weather disruptions, including Cyclone Koji, weighed on mining output and exports, limiting overall economic momentum.
Key Highlights
- GDP increased 0.3% during the March quarter and 2.5% over the year.
- Household consumption rose 0.5%, supported by higher spending on electricity, gas, and fuel.
- Net trade detracted 0.8 percentage points from GDP growth as exports fell and imports surged.
- Household saving ratio declined from 7.0% to 6.2%.
- Wages increased 1.2%, while unemployment remained relatively low at 4.3%.
- Mining output fell 1.5%, making it the largest industry drag on growth.
Industry growth was led by Professional, Scientific and Technical Services (+1.6%), Information Media and Telecommunications (+1.4%), and Construction (+0.9%).
Looking ahead, continued investment in digital infrastructure is supporting growth, but weaker exports, declining GDP per capita, and cautious consumer spending suggest the economy still faces significant challenges.