- State Budget shows the strength and resilience of the WA economy in a time of increased global uncertainty
- State economy grew 3.4 per cent in the past year, accounting for more than a 20 per cent of national growth
- WA continues to produce more than 45 per cent of the nation's overall exports, worth $234 billion
- 52,000 jobs created in past year, with a record 1.64 million Western Australians in work
- More than $2.7 billion of new investment in economic infrastructure supporting future growth and diversifying our economy
Despite heightened global uncertainty and instability, Western Australia's domestic economy continues to power the nation, expanding by 3.4per cent over the past year - the strongest of all states and almost double the rate of growth nationally.
The strong result is detailed in the 2025-26 State Budget and builds on the strong record achieved under the Cook Government, with WA's domestic economy increasing by almost 26 per cent on 2019 levels - well above the national average of just below 16 per cent.
The 2025-26 Budget has been prepared at a time of elevated global uncertainty, with US trade policy, conflict in the Middle East and broader geopolitical risks impacting through global business and consumer confidence and causing volatility in commodity and financial markets.
The strong result has been underpinned by household consumption, which has been the most resilient in the nation, and strong and sustained growth in business investment.
Western Australia's household consumption continues to be the most resilient of the states. Consumption grew by 1.8per cent over the year to March 2025, the strongest of all states, and more than three times the national rate of 0.5 per cent
Business investment accounted for almost 20percent of the national total over the past year and is expected to grow by more than 55 per cent over the decade to 2028-29. According to Deloitte Access Economics, $146 billion worth of private sector projects are in the pipeline in WA, more than 25 per cent of the national total.
Western Australia continues to be a major source of wealth to the nation with $234 billion in goods exported over the past year, nearly half of Australia's overall exports.
The nation-leading economy continues to support record employment levels. Employment has grown by 52,000 or 3.3 per cent over the past year, the strongest in the nation. Around 340,000 jobs have been created since March 2017, when the Labor Government came to office. The unemployment rate has been the lowest on record, consistently below 4 per cent for more than three years.
The strength of the WA economy and abundant job opportunities has seen WA's population grow by almost 300,000 people in the past five years, more than the population of the Northern Territory, which has supported economic growth but also increased demand for housing and services.
The Cook Government's initiatives to boost housing supply are working. The construction workforce has grown to record levels supported by investments in TAFE and training, as well as targeted incentives to bring in tradies from interstate and abroad.
Housing completions grew by 18 per cent to more than 20,600 in 2024, the strongest growth in the nation and the highest level in sevenyears. Annual building approvals have increased 45 per cent to 23,000.
Looking ahead, solid growth in the State's domestic economy is set to continue with growth of between 2.5per cent and 2.75 per cent over the next four years. Higher exports are expected to support average growth in Gross State Product of 2.5 per cent per year to 2028-29.
Strong financial management has allowed the Cook Labor Government to continue to support future economic growth, delivering on its Made in WA plan.
A range of measures to support industry, jobs and local manufacturing are funded in the Budget including $83 million to produce electric buses and ferries in WA, $50 million for the Housing Innovation Fund, and $50 million for a Local Battery Manufacturing Program and much more.
More than $2.7 billion of new investment has been made in economic infrastructure to unlock new and expand established industries. This includes a further $500 million boost to the Strategic Industries Fund to $1 billion to support provision of further common-user infrastructure at Strategic Industrial Areas around the State including in Kwinana, the Pilbara and Kemerton.
It also includes major new investments for power and water infrastructure such as the $584 million Clean Energy Link - North project to expand renewable generation and $543 million to increase water pipeline capacity to the Goldfields.
For more information, visit https://www.ourstatebudget.wa.gov.au
As stated by Premier Roger Cook:
"Western Australia's economy is the strongest in the nation - and I want to keep it that way.
"Under my government, hundreds of thousands of jobs have been created, apprenticeship starts have surged, and businesses have invested in WA like never before.
"I want to build on that record and make WA the best place in the world to do business.
"We want to make more things here, power WA on clean energy, and supply the materials required for the world's clean energy transition.
"Only my government can deliver this future and maintain WA's nation-leading economy."
As stated by Deputy Premier and Treasurer Rita Saffioti:
"Western Australia continues to be the nation's economic powerhouse - accounting for almost a fifth of the country's investment and generating more than 45 per cent of the value of the country's exports.
"Already, a massive 340,000 jobs have been created since we came to office, and we will continue to build on this achievement leveraging our strengths and making more things in WA.
"We recognise that a strong economy means more jobs, and that's why we took a plan to the people of Western Australia that put the economy and jobs front and centre.
"We'll continue to work with industry to support new and expand existing industries through our investments in economic infrastructure, reducing red tape and supportive policies.
"The State's strong economic performance and financial management means we are well placed to meet current global challenges as well as to lay the groundwork for future growth and continued prosperity."
