CCIWA plays an active role in informing its stakeholders – businesses, families, consumers and the WA workforce – on issues related to the State and Federal economies and finances. Our economics team has their finger on the pulse when it comes to the Western Australian economy.
Leaning on our international and national experience, our economists link local business to global events. They work hard to keep our Members and stakeholders ahead of the pack with their knowledge of how the economy is evolving and the impact it may have on their business, workforce and the wider WA community.
The CCIWA Business Confidence Survey is the longest running and most comprehensive business survey in WA. Produced quarterly it covers businesses of all sizes and sectors across the state and includes:
- Expert analysis about the short and medium-term business confidence
- Comprehensive data regarding issues such as labour costs, profitability, and capital expenditure
Western Australian business confidence has taken a hit in the first three months of 2022 amid intensified skills shortages, inflationary pressures and supply chain disruptions.
Following a lift in the December quarter of 2021, confidence levels have dropped over both the short and longer-term horizons with both indices suffering their largest quarterly fall since the initial COVID-19 shock in March 2020.
Previous Business Confidence Reports
The first of its kind in the State, the CCIWA Consumer Confidence survey provides invaluable insights into the attitudes and sentiments of Western Australian consumers.
- Short and medium-term expectations of economic conditions provided by metropolitan and regional consumers
- The major concerns for consumers in the current economic climate – including spending habits, employment prospects and financial health
Growing Omicron caseloads, elevated living costs and expectations of interest rate hikes have taken the wind out of the sails of WA confidence this quarter — with sentiment running aground.
Both short and longer term confidence dropped considerably in the March quarter, after reaching record highs at the same time last year. Both indices have fallen to their lowest values since September 2020.
Previous Consumer Confidence Reports
Outlook is a biannual CCIWA publication that provides expert forward-looking economic analysis. It contains:
- Analysis of the state, national and international economies
- Economic forecasts on key indicators such as inflation, the labour force and employment
Produced by our well-informed and market-conscious economics team, Outlook makes sure you stay ahead of the current and expected changes in economic conditions.
March 2022 Report
WA’s economy has entered 2022 on a solid footing. Robust domestic demand, a red-hot labour market and strong resources sector have set the scene for an encouraging year ahead – with the impact of Omicron expected to be short-lived.
While we’re expecting WA’s strong economic momentum to continue, significant challenges remain that pose material risks to WA’s economic and social prosperity. Rising inflationary pressures, acute labour shortages and the lack of economic diversification are all central issues that must be resolved before WA can realise its potential.
In this edition of Outlook, we unpack the key forces underpinning WA’s recent economic performance and outline how the economy could evolve in the months and years ahead.
Previous Economic Outlook Reports
Western Australia’s regions are the engine room of the WA economy, supporting a range of key export industries, including resources, agriculture and tourism.
Regional Pulse breaks down key results from the CCIWA Business Confidence Survey, providing insights into the conditions facing businesses in WA’s regional centres. The report contains:
- Comprehensive data on key economic indicators across the regions, including profitability, capital expenditure, production, labour costs and employment.
- The major barriers facing regional businesses over the next 12 months.
On average, regional businesses are more optimistic than metro businesses, on both the short term and longer-term outlook.
In the short term (next three months) 43% of regional businesses expect stronger conditions, compared to 37% for metro businesses.
Looking to the next twelve months, regional businesses are slightly less optimistic, with 39% expecting stronger conditions. This still exceeds metro businesses however (27%).
Produced quarterly, our inflation update provides charts and tables on consumer price trends in Perth and all the capital cities.
- Perth CPI rose 3.3 per cent over the March quarter and 7.6 per cent over the year.
- What influenced the CPI this quarter?
- New dwelling purchase by owner occupiers (+15.8%) rose due to rising materials and labour costs, and fewer grant payments from the Federal Government’s HomeBuilder and Western Australian Government’s housing construction programs compared to the previous quarter.
- Automotive fuel (+11.1%).
- Other non-durable household products (+7.4%)
- Rents (+2.3%) rose due to historically low vacancy rates resulting in price rises.