The unlikely state Aussies are fleeing to as unemployment sinks to the lowest in the country – and house prices remain affordable

Western Australia is the country’s proverbial boomtown, with a rich economy attracting a growing stream of Australians and international migrants eager to ‘head west’ and live the good life.

The Commonwealth Bank’s latest quarterly economic report on each state and territory and how they compare shows mining-heavy WA is well ahead of key measures such as unemployment, private sector growth and state final demand, which calculates internal economic activity by removing exports.

The unemployment rate in WA is about 3.6 percent, the lowest in the country.

Victoria, by contrast, has an unemployment rate of 4.3 percent.

State final demand (SFD) – a broad measure of demand for goods and services in an economy – grew by 4.1 per cent in WA through June, the report said, more than double the growth rates recorded in South -Australia, Tasmania and South Australia. Victoria.

SFD grew 2.1 percent in NSW and 2.6 percent in Queensland.

“The country’s strongest state economy remains WA, with economic opportunities attracting migrants from home and abroad to the state,” the report said.

“Western Australian consumers are also seeing the highest level of spending growth in the country.

“WA is the only state in the country where the private sector accounts for more than 50 percent of annual economic growth.

‘Perth’s housing market is rising, but from a lower base due to weak longer-term performance, meaning housing affordability remains relatively better than other cities despite recent price increases.’

Wages are also growing at a healthy rate in the mining state, 4.2 percent above the national average.

The favorable economic conditions are driving population growth, with a 3.3 percent increase in the number of people living in the state during the year.

This figure is the highest population growth in the country and WA remains the most in-demand state for internal migrants alongside Queensland.

Mining dominates economic activity in WA, accounting for 50 percent of the gross state product.

The unemployment rate in WA is about 3.6 percent, the lowest in the country. Perth is shown

Iron ore giants such as BHP and Rio Tinto operate vast mining and rail networks that transport material from the heart of the state to the port for export.

The state produced 860 million tonnes of iron ore with a sales value of $139 billion in 2023, the WA Department of Energy and Mines said.

But the boom has some expected downsides.

Perth now has the lowest vacancy rate in the country, at just 0.4 per cent, according to the latest figures from the Real Estate Institute of Australia.

“A healthy vacancy rate is around 3 percent, indicating that markets are currently tight across the country, keeping rental growth high,” the report said.