Economic briefing note on private capital expenditure in June 2016

June 2016

Release date: 1 September 2016
Next release: 1 December 2016

Private capital expenditure spending in Victoria decreased by 1.1 per cent in the June quarter 2016 (nationally down 5.4 per cent). Private capital expenditure spending in Victoria decreased by 0.8 per cent over the year to the June quarter 2016 (nationally down 17.4 per cent).

National capital expenditure by mining businesses has experienced a downwards trend since the June quarter 2012. National manufacturing expenditure has trended downwards since September quarter 2011.

Nationally, for other industries (not mining and manufacturing) capital expenditure increased 0.8 per cent in the June quarter 2016 after a rise of 2.7 per cent in the March quarter 2016.

Private capital expenditure NSW VIC QLD SA WA TAS AUS
June quarter 2016 ($m) 7277 4708 5206 1252 8459 240 28,712
Change in the quarter to June 2016, $million (%) 250 (3.6) -51 (-1.1) -83 (-1.6) -10 (-0.8) -1908 (-18.4) 17 (7.6) -1635 (-5.4)
Annual change to June 2016, $million (%) 476 (7.0) -39 (-0.8) -2069 (-28.4) -66 (-5.0) -4346 (-33.9) 5 (2.1) -6065 (-17.4)

Capital expenditure in Australia by industry

This chart shows Private Capital expenditure in Australia in billions of dollars in Chain Volume Measures in the Mining, Manufacturing and Other Industries, between June quarter 2006 and June quarter 2016.  Private capital expenditure in the Mining industry was $7.0 billion in June quarter 2006. Private capital expenditure trended upwards between June quarter 2006 and June quarter 2012, reaching a peak of $24.9 billion in June quarter 2012. Since June quarter 2012, private capital expenditure in the Mining industry has trended downwards, and sits at $10.5 billion in June quarter 2016.  Private capital expenditure in the Manufacturing industry was $3.6 billion in June quarter 2006. Private capital expenditure trended upwards between June quarter 2006 and September quarter 2011, reaching a peak of $3.8 billion in September quarter 2011. Since September quarter 2011, private capital expenditure in the Manufacturing industry has trended downwards, and sits at $2.1 billion in June quarter 2016.  Private capital expenditure in all other industries was $11.4 billion in June quarter 2006. Private capital expenditure trended upwards between June quarter 2006 and March quarter 2011, reaching a peak of $15.7 billion in March quarter 2011. Between  March quarter 2011 and March quarter 2013, private capital expenditure in all other industries trended downwards, reaching $14.0 billion in  March quarter 2013. Since March quarter 2013 private capital expenditure in all other industries has trended upwards, and sits at $16.2 billion in June quarter 2016. 

QuarterMining ($billion)Manufacturing ($billion)Other industries ($billion)
June 20067.03.611.4
March 2011n/an/a15.7
September 2011n/a3.8n/a
June 201224.9n/an/a
March 2013n/an/a14.0
June 201610.52.116.2

Capital expenditure in Victoria and Australia

This chart shows Private Capital expenditure in Victoria and Australia in billions of dollars in Chain Volume Measures, between June quarter 2006 and June quarter 2016.  Private capital expenditure in Victoria was $4.5 billion in June quarter 2006. Private capital expenditure trended upwards between June quarter 2006 and December quarter 2009, reaching a peak of $5.8 billion in December quarter 2009. Since December quarter 2009, private capital expenditure in Victoria has trended downwards, and sits at $4.7 billion in June quarter 2016.  Private capital expenditure in Australia was $22.1 billion in June quarter 2006. Private capital expenditure trended upwards between June quarter 2006 and June quarter 2012, reaching a peak of $42.6 billion in June quarter 2012. Since June quarter 2012, private capital expenditure in Australia has trended downwards, and sits at $28.7 billion in June quarter 2016. 

QuarterVictoria ($billion)Australia ($billion)
June 20064.522.1
December 20095.8n/a
June 2012n/a42.6
June 20164.728.7

Source: Australian Bureau of Statistics (ABS), cat. no. 5625 – Private new capital expenditure and expected expenditure

Contact

Please email economic.analysis@ecodev.vic.gov.au for more information.

Page last updated: 23 September 2016