Arthur Sinodinos (NSW, Liberal Party, Assistant Treasurer) Share this | Hansard source

These are the September quarter national accounts, the last quarter of accounts under the previous government, and this is the legacy that Labor has left us, with growth continuing to be below trend—0.6 per cent for the quarter, 2.3 per cent through the year. This is the fourth consecutive quarter of below-trend growth. For a number of years, we heard from the other side about trend growth and all the rest of it. That was masking weakness in the non-mining economy. These latest statistics underline that, as mining investment continues to come off, that weakness in the non-mining economy is coming through.

The major source of growth in the quarter was an increase in net exports, which we welcome, contributing 0.7 percentage points to GDP. That growth in export volumes is important. In the years to come, that will be the pay-off for the large supercycle of resource investment which we have had, but it does mean we are in a transition, and those exports will not make up for the impact on GDP of falling mining investment, so we need to continue the transition to a stronger economy. Household consumption remains subdued, contributing 0.2 percentage points to GDP growth in the quarter. Saving levels remain elevated, at over 10 per cent of GDP. Consumers remain cautious. Non-mining investment—