He said that result was a testament to the ‘hard border’ and he took aim at “eastern states commentators” who claimed the state was a drag on the national economy.


“What today’s data highlights in particular in respect of the June quarter is that Western Australia, and indeed those states with hard borders or strong borders like South Australia and Queensland are certainly no drag on the national economy,” he said.

“We all had the strongest results for the June quarter compared to those states that have been more liberal with their borders.

“I want to put to bed this idea that Western Australia is a drag on the national economy, it has been an important contributor, not just to the economy of Australia but to the finances of every single treasury in our federation.”

Both Mr Wyatt and Federal Treasurer Josh Frydenburg noted the mining sector’s role in propping up state and federal economies.


“As always I’m thankful to Western Australia and its strong mining sector and Queensland’s mining sector, and indeed mining right around the country,” Mr Wyatt said.

“It is a highly productive sector, it’s a big export earner and it is a big employer.”

Chamber of Commerce and Industry WA chief economist Aaron Morey said WA businesses reliant on discretionary spending felt the biggest impacts.

“Significant losses of activity were recorded in hotels, cafes, restaurants and transport businesses, with their high proportion of young workers,” he said.

“Outside machinery and equipment investment by the mining sector, the few items Western Australians spent more on were rent, insurance and alcohol.”

Mr Morey said another economic storm was approaching when supports such as JobKeeper eventually expired.

“To recover from this crisis, WA must foster better conditions to support business growth, investment and confidence,” he said.

“Today’s result illustrates the urgency for national cabinet to work towards creating a more competitive business environment by reducing or eliminating uncompetitive taxes.”


United Workers Union National Secretary Tim Kennedy called on the federal government to stop plans to reduce the JobKeeper payment.

“This government needed to expand JobKeeper not strip it back while we’re still in the middle of this crisis,” he said.

“Now we have workers facing a reduced rate that’s below the minimum wage or who will be removed from the scheme all together.”

Hamish Hastie is WAtoday’s business reporter.


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