Articles
This quarter's National Accounts includes the following articles:
Australian National Accounts: National Income, Expenditure and Product
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Quarterly estimates of key economic flows in Australia, including gross domestic product (GDP), consumption, investment, income and saving
Reference period
September 2020
Released
2/12/2020
Key statistics
- The Australian economy rose 3.3% in seasonally adjusted chain volume measures
- Through the year GDP fell 3.8%
- The terms of trade rose 0.7%
- Household saving ratio decreased to 18.9% from 22.1%
Economic overview
Unless otherwise stated all figures are in seasonally adjusted, chain volume measures.
The reference year for chain volume measures is 2018-19.
For more information about the changes in this issue, please see revisions and changes on this page.
September key figures, percentage changes (a)
| Jun 19 to Sep 19 | Sep 19 to Dec 19 | Dec 19 to Mar 20 | Mar 20 to Jun 20 | Jun 20 to Sep 20 | Sep 19 to Sep 20 | |||
|---|---|---|---|---|---|---|---|---|
| Chain volume GDP and related measures (b) | ||||||||
| GDP | 0.6 | 0.4 | -0.3 | -7.0 | 3.3 | -3.8 | ||
| GDP per capita (c) | 0.2 | - | -0.6 | -7.2 | 3.2 | -4.7 | ||
| Gross value added market sector (d) | 0.4 | 0.1 | -0.6 | -7.9 | 3.1 | -5.5 | ||
| Real net national disposable income | 0.9 | -0.5 | -0.1 | -7.4 | 4.8 | -3.5 | ||
| Productivity | ||||||||
| GDP per hour worked | -0.7 | 0.2 | 0.6 | 3.4 | -1.1 | 3.2 | ||
| Real unit labour costs | - | 1.2 | -0.6 | -8.9 | -0.7 | -9.0 | ||
| Prices | ||||||||
| GDP chain price index (original) | 0.6 | -1.2 | 1.0 | -0.3 | -0.1 | -0.5 | ||
| Terms of trade | 0.6 | -4.4 | 0.4 | 0.9 | 0.7 | -2.5 | ||
| Current price measures | ||||||||
| GDP | 1.2 | -0.1 | 0.3 | -7.4 | 3.7 | -3.9 | ||
| Household saving ratio | 6.2 | 5.3 | 7.6 | 22.1 | 18.9 | na | ||
na not available
a. Change on preceding quarter, except for the last column which shows the change between the current quarter and the corresponding quarter of the previous year. Excludes Household saving ratio.
b. Reference year for chain volume measures and real income measures is 2018-19.
c. Population estimates are as published in the National, state and territory population (cat. no. 3101.0) and ABS projections.
d. ANZSIC divisions A to N, R and S. See Glossary - Market sector.
Australian economy rose 3.3% in September quarter
Gross Domestic Product (GDP) rose 3.3% this quarter, as COVID-19 related restrictions eased across most states and territories. This follows the record 7.0% decline in the June quarter 2020. While there was an improvement in GDP this quarter, the level of activity in the economy remains lower than prior to the pandemic, reflected in a 3.8% decline through the year.
Private demand drives the rise
Domestic final demand contributed 4.3 percentage points to GDP growth. Household final consumption expenditure contributed 4.0 percentage points as restrictions lifted for households and businesses. Public demand contributed a further 0.3 percentage points.
Household spending recovers
After falling a record 12.5% in June quarter, household spending rebounded in September quarter, rising 7.9%. Spending remained weak, down 6.5% through the year.
Reductions in COVID-19 case numbers led to the relaxing of social distancing measures and other restrictions, encouraging spending on services which rose 9.8%. Hotels, cafes and restaurants, recreation and culture and transport services rebounded. Spending on health services recovered as deferred elective surgeries and visits to medical practitioners resumed.
Spending on goods increased 5.2% this quarter and is up 3.5% through the year.
Melbourne lockdown constricts Victoria's economy
Victoria’s state final demand fell 1.0%, the only state to record a fall, driven by declines in household spending and investment. More stringent restrictions associated with the second lockdown resulted in a 9.8% fall through the year. Household spending declined 1.2% in September quarter, driven by clothing and footwear, furnishings and recreation and culture. Spending on food rose 6.6%, partly offsetting the fall, as households prepared for the second lockdown.
Household saving ratio remains at a high level
The household saving to income ratio declined from its record high last quarter, but remains elevated at 18.9%. The fall was driven by the partial recovery in household consumption, which outpaced income growth.
Household disposable income grew 3.4%, reflecting increases in both labour and non-labour income as activity in the economy increased.
Housing activity prevents a larger fall in private investment
Private investment fell 0.2% this quarter, with increased housing investment activity offset by weaker business investment (-3.0%). Ownership transfer costs increased 21.4%, as housing market activity rebounded following social distancing measures in the previous quarter. Renovations and home improvements activity drove a 5.1% rise in alterations and additions.
Government consumption continues to support growth
Government final consumption expenditure increased 1.4%, the ninth consecutive rise, driven by increased social benefits to households as patient visits to medical practitioners and elective surgeries resumed this quarter, following the easing of restrictions.
Net exports detracted 1.9 percentage points from GDP
Imports of goods and services rose 6.5%, supported by increased demand for consumption goods as restrictions on the economy lifted. Exports of goods and services fell 3.2%, reflecting continued international travel bans and reduced demand for Australia's mining commodities. The detraction from net exports this quarter is the largest since September quarter 1980.
Services industries drove gross value added
Gross value added rose 3.1% this quarter, with rises in 17 out of the 19 industries. Accommodation and Food Services and Arts and Recreation, industries that were heavily impacted by the pandemic, recorded rises following the easing of restrictions. While there were broad-based increases across the economy this quarter, the level of activity for the majority of industries remained weak through the year.
Rebound in compensation of employees
Compensation of employees rose 2.3% this quarter, reflecting an increase in hours worked and a rise in employment. Average compensation per employee rose 0.4%.
Non-mining industries drove growth in operating surplus
Gross operating surplus plus gross mixed income (GOSMI) rose 3.3%, driven by non-mining industries with increased economic activity as COVID-19 restrictions eased coupled with continued support from government.
Mining operating surplus fell 5.1% in the quarter and remained weak through the year, down 11.0%. Reduced demand for coal and LNG and falls in prices drove the fall. This result was reflected in falls in exports of these commodities.
Expenditure
| % Change | % Change | % points contribution to growth in GDP | |||
|---|---|---|---|---|---|
| Jun 20 to Sep 20 | Sep 19 to Sep 20 | Jun 20 to Sep 20 | |||
| Final consumption expenditure | |||||
| General government | 1.4 | 7.8 | 0.3 | ||
| Households | 7.9 | -6.5 | 4.0 | ||
| Total final consumption expenditure | 5.9 | -2.7 | 4.3 | ||
| Gross fixed capital formation | |||||
| Private | |||||
| Dwellings | 0.6 | -7.6 | - | ||
| Ownership transfer costs | 21.4 | 8.6 | 0.3 | ||
| Non-dwelling construction | -4.9 | -9.6 | -0.3 | ||
| Machinery and equipment | -3.7 | -13.0 | -0.1 | ||
| Cultivated biological resources | 6.3 | 16.7 | - | ||
| Intellectual property products | 2.3 | -5.9 | - | ||
| Public | 0.3 | -0.2 | - | ||
| Total gross fixed capital formation | -0.1 | -6.0 | - | ||
| Changes in inventories | na | na | 0.8 | ||
| Gross national expenditure | 5.4 | -3.3 | 5.1 | ||
| Exports of goods and services | -3.2 | -14.9 | -0.7 | ||
| Imports of goods and services | 6.5 | -13.9 | -1.2 | ||
| Statistical discrepancy (E) | na | na | 0.1 | ||
| Gross domestic product | 3.3 | -3.8 | 3.3 | ||
- nil or rounded to zero (including null cells)
na not available
Final consumption expenditure (FCE) 5.9%
Gross fixed capital formation (GFCF) -0.1%
Changes in inventories
Exports and imports of goods and services
Income
Income estimates are in seasonally adjusted current prices
| % Change | % Change | % points contribution to growth in GDP | ||
|---|---|---|---|---|
| Jun 20 to Sep 20 | Sep 19 to Sep 20 | Jun 20 to Sep 20 | ||
| Compensation of employees | 2.3 | 1.5 | 1.1 | |
| Gross operating surplus |
|
|
| |
| Private non-financial corporations | 3.9 | 18.2 | 1.0 | |
| Other(a) | 0.6 | 2.1 | - | |
| Gross mixed income | 6.8 | 30.1 | 0.7 | |
| Taxes less subsidies on production and imports | 50.9 | -109.0 | 1.0 | |
| Statistical discrepancy (I) | na | na | -0.2 | |
| Gross domestic product | 3.7 | -3.9 | 3.7 | |
- nil or rounded to zero (including null cells)
na not available
a. Includes Public non-financial corporations, Financial corporations, General government and Dwellings owned by persons.
Compensation of employees (COE) 2.3%
Gross operating surplus (GOS) 2.5%
Taxes less subsidies on production and imports 50.9%
Production
| % Change | % Change | % points contribution to growth in GDP | |||
|---|---|---|---|---|---|
| Jun 20 to Sep 20 | Sep 19 to Sep 20 | Jun 20 to Sep 20 | |||
| Agriculture, Forestry and Fishing | -0.6 | -8.7 | - | ||
| Mining | -1.7 | -2.3 | -0.2 | ||
| Manufacturing | 4.0 | -1.7 | 0.2 | ||
| Electricity, Gas, Water and Waste Services | 1.0 | -2.0 | - | ||
| Construction | 2.2 | -8.3 | 0.2 | ||
| Wholesale Trade | 4.7 | -0.2 | 0.2 | ||
| Retail Trade | 5.6 | 2.6 | 0.2 | ||
| Accommodation and Food Services | 41.0 | -19.7 | 0.6 | ||
| Transport, Postal and Warehousing | 4.7 | -19.9 | 0.2 | ||
| Information Media and Telecommunications | 6.3 | -2.1 | 0.1 | ||
| Financial and Insurance Services | 0.4 | 3.0 | - | ||
| Rental, Hiring and Real Estate Services | 7.7 | -8.5 | 0.2 | ||
| Professional, Scientific and Technical Services | 2.5 | -2.2 | 0.2 | ||
| Administrative and Support Services | 0.8 | -22.1 | - | ||
| Public Administration and Safety | 1.5 | 6.0 | 0.1 | ||
| Education and Training | 0.2 | 0.9 | - | ||
| Health Care and Social Assistance | 9.1 | 1.8 | 0.7 | ||
| Arts and Recreation Services | 14.7 | -16.2 | 0.1 | ||
| Other Services | 4.1 | -15.0 | 0.1 | ||
| Ownership of dwellings | 0.4 | 1.7 | - | ||
| Taxes less subsidies on products | 7.5 | -9.7 | 0.4 | ||
| Statistical discrepancy (P) | na | na | - | ||
| Gross domestic product | 3.3 | -3.8 | 3.3 | ||
- nil or rounded to zero (including null cells)
na not available
Agriculture, Forestry and Fishing -0.6%
Mining -1.7%
Manufacturing 4.0%
Construction 2.2%
Wholesale Trade 4.7%
Accommodation and Food Services 41.0%
Transport, Postal and Warehousing 4.7%
Rental, Hiring and Real Estate Services 7.7%
Professional, Scientific and Technical Services 2.5%
Administrative and Support Services 0.8%
Health Care and Social Assistance 9.1%
Arts and Recreation Services 14.7%
State and territory final demand
Percentage change from Jun 20 to Sep 20 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| NSW | Vic. | Qld | SA | WA | Tas. | NT | ACT | Aust.(a) | ||
| Final consumption expenditure | ||||||||||
| General government | 2.2 | 3.2 | -0.3 | 1.8 | -1.3 | -0.7 | 4.0 | 0.5 | 1.4 | |
| Households | 10.8 | -1.2 | 11.6 | 11.0 | 11.7 | 10.6 | 7.3 | 8.7 | 7.9 | |
| Gross fixed capital formation |
|
|
|
|
|
| ||||
| Private | 1.6 | -4.6 | 3.5 | 0.7 | -2.1 | -2.0 | 6.2 | -11.4 | -0.2 | |
| Public | 1.7 | -3.9 | 2.4 | 1.4 | -2.6 | 4.5 | 7.7 | 4.4 | 0.3 | |
| State final demand | 6.8 | -1.0 | 6.8 | 6.7 | 4.9 | 5.5 | 6.0 | 2.0 | 4.5 | |
- nil or rounded to zero (including null cells)
a. Australia estimates relate to Domestic final demand.
Quarterly volume measures, seasonally adjusted
Image
Description
The image is a map of Australia by state/territory showing quarterly volume measures;
New South Wales' state final demand increased 6.8% for the quarter.
Victoria's state final demand decreased 1.0% for the quarter.
Queensland's state final demand increased 6.8% for the quarter.
South Australia's state final demand increased 6.7% for the quarter.
Western Australia's state final demand increased 4.9% for the quarter.
Tasmania's state final demand increased 5.5% for the quarter.
Northern Territory's state final demand increased 6.0% for the quarter.
Australian Capital Territory's state final demand increased 2.0% for the quarter.
New South Wales 6.8%
Victoria -1.0%
Queensland 6.8%
South Australia 6.7%
Western Australia 4.9%
Tasmania 5.5%
Northern Territory 6.0%
Australian Capital Territory 2.0%
Key tables
Key national accounts aggregates
Analytical expenditure aggregates
Expenditure aggregates
Expenditure on GDP
Household final consumption expenditure
Industry gross value added
Income from GDP
State final demand
Related releases
Australian System of National Accounts (cat. no. 5204.0)
The 2019-20 issue of the Australian System of National Accounts was released on 30 October 2020. This publication provides detailed, annual estimates of Australia's national accounts. These include expenditure, income and production estimates of gross domestic product (GDP), productivity estimates, sectorial accounts (for households, financial and non-financial corporations, general government and the rest of the world), and additional aggregates dissected by industry.
Australian National Accounts: Supply Use Tables (cat. no. 5217.0)
The 2018-19 issue of Australian National Accounts: Supply Use Tables was released on 30 October 2020. The Supply Use tables were introduced in the annual National Accounts in 1998 as an integral part of the annual compilation of the Australian System of National Accounts. They are used to ensure Gross Domestic Product is balanced for all three approaches (production, expenditure and income) and provide the annual benchmarks from which the quarterly estimates are compiled.
Read more
Revisions and changes
Revisions in this issue
The estimates in this issue incorporate the 2018-19 annual supply and use tables. The supply and use tables incorporate revisions reflecting changes in methods, concepts, classifications and data sources. For more information on the role of supply and use tables in the national accounts and the major revisions please see the 2018-19 supply and use tables section in Australian System of National Accounts, 2019-20 (cat. no. 5204.0).
This issue also includes the following changes:
- the impact of re-referencing chain volume (CVM) estimates to the 2018–19 financial year. This in isolation will only affect levels of CVM estimates, generally leaving growth rates unchanged. Re-referencing can have an impact on CVM GDP growth (and other estimates) for the latest financial year (2019–20) if there are significant relative price changes between 2017–18 and 2018–19.
- incorporation of revisions to seasonal adjustment in the balance of payments from improved methodology and seasonal reanalysis. These revisions impact from September quarter 2019.
- incorporation of revisions from Government Finance Statistics, with revised June quarter 2020 estimates for Commonwealth subsidy expenses due to updated timing calculations.
Suspension of trend estimates
Due to the impacts of COVID-19 on the economy, trend estimates for all series in the National Accounts have been suspended from June 2019 (inclusive). In the short term, this measurement will be significantly affected by changes to regular patterns in economic activity. If trend estimates were to be calculated without fully accounting for this unusual event, they would likely provide a misleading view of the underlying trend in the economy.
Changes in the seasonal adjustment process
Series with significant and prolonged impacts from COVID-19 will use forward seasonal factors to produce seasonally adjusted estimates instead of the standard concurrent seasonal factors method. The forward factors approach is better suited to managing large movements at the end of a series and will ensure that large movements do not have a disproportionate influence on the seasonal factors.
Changes to hours worked
National Accounts has incorporated quarterly and annual hours worked from the Labour Accounts from the 2019-20 financial year. Labour Accounts are produced within the same framework used by National Accounts and are consistent in concept and scope.
Data downloads
Time series spreadsheets
Data files
Table 1. Key National Accounts Aggregates
Table 2. Expenditure on Gross Domestic Product (GDP), Chain volume measures
Table 3. Expenditure on Gross Domestic Product (GDP), Current prices
Table 4. Expenditure on Gross Domestic Product (GDP), Chain price indexes
Table 5. Expenditure on Gross Domestic Product (GDP), Implicit price deflators
Table 6. Gross Value Added by Industry, Chain volume measures
Table 7. Income from Gross Domestic Product (GDP), Current prices
Table 8. Household Final Consumption Expenditure (HFCE)
Table 9. Changes in Inventories
Table 10. Agricultural Income, Current prices
Table 11. National Income Account, Current prices
Table 12. National Capital Account, Current prices
Table 13. Non-Financial Corporations Income Account, Current prices
Table 14. Private Non-Financial Corporations Income Account, Current prices
Table 15. Public Non-Financial Corporations Income Account, Current prices
Table 16. Financial Corporations Income Account, Current prices
Table 17. General Government Income Account, Current prices
Table 18. National General Government Income Account, Current prices
Table 19. State and Local General Government Income Account, Current prices
Table 20. Household Income Account, Current prices
Table 21. External Account, Current prices
Table 22. Taxes, Current prices
Table 23. Social Assistance Benefits Payments, Current prices
Table 24. Selected Analytical Series
Table 25. State Final Demand, Summary Components by State: Chain volume measures
Table 26. State Final Demand, Detailed Components: New South Wales
Table 27. State Final Demand, Detailed Components: Victoria
Table 28. State Final Demand, Detailed Components: Queensland
Table 29. State Final Demand, Detailed Components: South Australia
Table 30. State Final Demand, Detailed Components: Western Australia
Table 31. State Final Demand, Detailed Components: Tasmania
Table 32. State Final Demand, Detailed Components: Northern Territory
Table 33. State Final Demand, Detailed Components: Australian Capital Territory
Table 34. Key Aggregates and analytical series, Annual
Table 35. Income from GDP and Changes in Inventories, Annual
Table 36. Expenditure on Gross Domestic Product (GDP), Chain volume measures and Current prices, Annual
Table 37. Industry Gross Value Added, Chain volume measures, Annual
Table 38. National Income Account, Current prices, Annual
Table 39. National Capital Account, Current prices, Annual
Table 40. External Account, Current prices, Annual
Table 41. Indexes of Industrial Production
Table 42. Unit Labour Costs
Table 43. Indexes of Industrial Production, Annual
Table 44. Compensation of Employees, State by Sector: Current prices
Table 45. Gross Value Added by Industry, Current prices
All time series workbooks
Previous catalogue number
This release previously used catalogue number 5206.0.