Record $5.3 Billion Investment in ACT Economy

A record $5.3 billion of investment was recorded in the ACT during 2007, according to new figures released by the Australian Bureau of Statistics today.

Chief Minister and Treasurer Jon Stanhope welcomed the new figures which confirmed the strength of the ACT economy with investment totalling a seasonally adjusted $5,335 million for the year. Investment in new non-dwelling construction in 2007 was also the second highest on record, only surpassed by the level recorded in 2006.

‘This record high is a great result for the ACT economy and shows the strong business confidence in the ACT economy,’ Mr Stanhope said.

'Strong levels of investment increases our future economic capacity and the resulting benefits will flow for years to come. We expect investment in the ACT to remain strong over the next year with a number of major commercial construction projects currently underway, or proposed, over the next three years.’

Some of the more significant projects include:

• construction of the Australian National University Exchange for around $600 million;
• construction of a $460 million office building to house ASIO and Office of National Assessments
• new Department of Defence office buildings for around $300-$600 million
• construction and redevelopment of office buildings along Constitution Avenue at a cost of $250 million'
• a $350 million development at York Park for housing the Commonwealth Department of Environment and Water Resources; and
• the $200 million development of Section 63.

In addition to this construction there is almost $300 million budgeted by the ACT Government for capital works over the next four years. This includes:

• a new secondary school in Gungahlin (to open in 2010);
• major roadworks around the airport and in Tuggeranong; and
• a multistorey carpark at the Canberra Hospital.

The investment figures released by the ABS also indicated that spending in the ACT, as measured by trend State Final Demand, grew by 3.5% in year on year terms to the December quarter 2007.

'The State Final Demand figure is also a strong result and confirms the strength of the ACT economy, with high levels of activity, record high levels of investment and a robust labour market,’ Mr Stanhope said. ‘We can be confident here in the ACT as the unemployment rate in the ACT is the lowest since records began in 1978, at just 2.3% and the number of job vacancies actually outnumbers the number of people seeking work in the ACT.’