The Queensland economy grew by an estimated 2.75% in 2017–18, reflecting a rebound in business investment, a recovery in coal exports and the final year of the ramp-up of LNG exports, and is expected to grow by just under 3% per year over the next three years.
Domestic activity is expected to strengthen, reflecting improvements in domestic demand as business spending and investment rebound and goods exports grow moderately over this period. Ongoing growth in tourism and education exports is expected over this period.
In 2017–18, stronger global trade drove a rebound in industrial production in almost all of Queensland’s major trading partners, driving mineral and energy prices up.
Conditions are expected to moderate in coming years as coal, iron ore and oil prices decline to more sustainable levels, in line with an anticipated slowing in global industrial production growth.
In 2018–19, exports are expected to grow modestly, led by resource exports.
Following the strong rebound in 2017–18, business investment is forecast to return to more moderate growth from 2018–19.