South Australian economy well positioned for development
by Mary Jones - April 28, 2010
Australia, 28th April: According to two recent economic reports, South Australian economy is poised to continue its recovery in the coming two years.
As per the findings of the first report by Access Economics (a largest economic consultancy firm of Australia), economy of South Australia is well placed economically despite being exposed to risks posed by farm and manufacturing industries due to rising rates of interest and high exchange rates.
According to second report by PricewaterhouseCoopers, nearly 56 percent of businesses in South Australia had either successfully met their target or had outperformed them in the month of March 2010. This is despite the fact that there has been a plunge in the growth of average profit and average sales in the past one year.
Rate of unemployment in South Australia are almost touching record lows and growth in population has been the best since the 1970s. This could be attributed not only to natural growth in population but also due to Australian immigration.
Michael Browne, partner of PricewaterhouseCoopers said that South Australian economy is really in good form and it has reached this position after witnessing a considerable long period of sustained economic development and consolidation.
Large number of new projects in the pipeline in the resource sector and a few undergoing expansion help to bring desired improvements in the economic outlook and to transform South Australia from being a major production hub to a resource region.
The recent Business Outlook report by Access has urged South Australia to improve its mining sector to keep pace with economic growth of other states. It also added that housing sector will see a good period for the next two years.
Kevin Foley, South Australia Treasurer said that growth in the state has been due to investments in mining, defense and renewable energy.
Meanwhile, Iain Evans, opposition treasure spokesperson has come out strongly against the government for putting increased resources in defense spending and asked to shift its focus on developing mining sector of South Australia.
»
- 893 reads
