The indicator showed trade worsened in all jurisdictions through the period, except in New South Wales and Western Australia.
" No Australian household or business started the year expecting a major economic shock but by March 31 all were managing severe disruption.”
A uniform downturn in economic activity was not evident, however, with household precautionary buying in NSW, Queensland, WA, the Australian Capital Territory and the Northern Territory offsetting weakness elsewhere.
No Australian household or business started the year expecting a major economic shock but by March 31 all were managing severe disruption. By April, economic conditions were deteriorating substantially.
As a result, ANZ Research has again cut its gross state product forecasts in all jurisdictions for 2019-20 and 2020-21, in line with its national forecasts.
State governments have been actively supporting their economies, adding to significant federal spending. But the spend is small: close to or less than 1 per cent of each state or territory’s annual gross state product, according to our estimates for the 2019-20 and 2020-21 financial years.
Discretionary fiscal spending has been predominantly targeted at small and medium enterprises with waivers on payroll tax and government fees and charges. States have also supported households and some industries.