Quarterly estimates of key economic flows in Australia, including gross domestic product (GDP), consumption, investment, income and saving
This release includes an analytical article: Household consumption of illicit tobacco and nicotine products
This article contains the experimental estimates developed by the ABS on household consumption of illicit tobacco and nicotine products and their theoretical impact on economic statistics.
Unless otherwise stated all figures are in seasonally adjusted, chain volume measures.
The reference year for chain volume measures is 2023-24.
| Dec 24 to Mar 25 | Mar 25 to Jun 25 | Jun 25 to Sep 25 | Sep 25 to Dec 25 | Dec 25 to Mar 26 | Through the year, Mar 25 to Mar 26 | ||
|---|---|---|---|---|---|---|---|
| Chain volume measures (b) | |||||||
| GDP | 0.3 | 1.0 | 0.4 | 0.9 | 0.3 | 2.5 | |
| GDP per capita (c) | -0.1 | 0.6 | - | 0.5 | -0.1 | 1.0 | |
| Gross value added market sector (d) | 0.2 | 1.0 | 0.3 | 1.1 | 0.3 | 2.8 | |
| Real net national disposable income | 0.7 | 1.0 | 0.3 | 0.3 | 0.4 | 2.0 | |
| Productivity | |||||||
| GDP per hour worked | 0.1 | 0.7 | 0.2 | - | -0.6 | 0.3 | |
| Real unit labour costs | -0.2 | 0.9 | -0.2 | -0.7 | 0.5 | 0.5 | |
| Prices | |||||||
| GDP chain price index (original) | 0.8 | -0.5 | 0.9 | 1.4 | 0.8 | 2.6 | |
| Terms of trade | -0.5 | -1.0 | 0.1 | - | 1.1 | 0.2 | |
| Current price measures | |||||||
| GDP | 1.3 | 0.8 | 1.8 | 2.0 | 0.6 | 5.3 | |
| Household saving ratio | 6.8 | 5.9 | 6.1 | 7.0 | 6.2 | na | |
na not available
- nil or rounded to zero
a. Change on preceding quarter, except for the last column which shows the change between the current quarter and the corresponding quarter of the previous year. Excludes Household saving ratio.
b. Reference year for chain volume measures and real income measures is 2023-24.
c. Population estimates are as published in the National, state and territory population and ABS projections.
d. ANZSIC divisions A to N, R and S. See Glossary - Market sector.
Gross Domestic Product (GDP) rose 0.3% this quarter and by 2.5% since March 2025. Modest growth reflects subdued household and government consumption, and adverse weather impacts that hampered mining production and exports. Business investment in data centre machinery and equipment was the largest contributor to growth, however as the majority of the capital assets were imported, the impact on GDP growth was moderated by a large detraction from net trade.
Nominal GDP rose 0.6%. The GDP implicit price deflator (IPD) rose 0.3%, reflecting a rise in the domestic final demand deflator (+0.4%) alongside a rise in the terms of trade (+1.1%).
Domestic price growth was seen through both higher consumption and construction prices. The largest rise in consumption prices was seen in operation of vehicles as automotive fuel prices increased sharply towards the end of the March quarter. Construction prices continue to rise with ongoing competition for limited resources including labour and raw materials.
The terms of trade rose, driven by lower import prices (-1.2%) reflecting the strong appreciation of the Australian dollar. This led to significantly cheaper prices across all import service categories and most consumption and capital goods categories. Higher prices for intermediate goods such as fuels and fertilisers partly offset the fall due to supply concerns induced by the conflict in the Middle East and closure of the Strait of Hormuz. Export prices fell 0.1%, driven by the decline in iron ore prices due to oversupply concerns. Price rises for lithium and coal partly offset the fall. Increased demand for batteries and electric vehicle manufacturing drove the price rise for lithium.
Domestic final demand contributed 1.0 percentage points to GDP growth.
Private demand was driven by private investment (+0.7 percentage points) followed by household consumption (+0.3 percentage points). Public demand did not contribute to GDP growth as a rise in public investment (+0.9%) was offset by a decline in government consumption (-0.2%).
Net trade detracted 0.8 percentage points from GDP growth due to a fall in exports (-1.1%) and a rise in imports (+2.1%).
Changes in inventories did not contribute to GDP growth during the quarter. Mining inventories were built up as adverse weather conditions impacted logistics and delayed transportation of coal to ports. Iron ore inventories also rose as production exceeded export demand. Non-mining inventories were run down as public authorities serviced high exports of non-monetary gold. Manufacturing inventories were run down with increased demand for gold and other primary metals. Retail trade inventories fell as car retailers reduced stock holdings in anticipation of low demand. Food and fuel retailers ran down inventories with increased sales.
Household consumption grew 0.5%, contributing 0.3 percentage points to GDP growth.
Essential spending led the rise, growing 0.8%, driven by electricity, gas and other fuels (+11.7%). Cessation of the energy rebates resulted in higher out-of-pocket spend to households, despite lower underlying demand. Food (+0.8%) and operation of vehicles (+0.6%) increased with some stockpiling behaviour of pantry staples in cyclone affected regions and increased purchases of fuel due to supply concerns for petrol and diesel. Discretionary spending was subdued (+0.1%). Higher interest rates and increased fuel costs likely influenced cautious consumer behaviour across most categories.
Government consumption fell 0.2%. This fall was driven by reduced social benefits to households from state and local general government with the ending of energy bill relief. National defence fell in the quarter but remained high through the year, up 7.2%. National non-defence expenditure offset the fall in defence with increased spending in non-employee expenses across a number of large government agencies alongside an increase in social benefits to households linked to home and aged care.
Private investment grew 3.6%. This was led by machinery and equipment (+16.3%), with increased business investment in data centres across New South Wales and Victoria. Dwelling investment rose 0.7% driven by alterations and additions (+3.2%). New and used dwellings (-0.8%) fell due to a fall in private houses, while other residential dwellings rose with new commencements on large apartment projects.
Public investment grew 0.9%. Defence investment rose 6.8% reflecting increased imports of defence weapons platforms. State and local general government (+1.1%) also contributed to the rise with continued investment across various transport and health projects.
Net trade detracted 0.8 percentage points from GDP growth due to a fall in exports (-1.1%) and a rise in imports (+2.1%).
Imports of goods rose 1.4%. Imports of capital goods led the rise with record imports of automatic data processing equipment. Intermediate goods imports were stable, as many scheduled shipments of fuel and fertiliser were already in transit prior to the closure of the Strait of Hormuz. Imports of consumption goods fell, driven by lower demand for motor vehicles.
Imports of services rose (+3.8%) across all categories, as the strong appreciation of the Australian dollar allowed for higher import volumes for transport, travel and other professional services.
Exports of goods fell (-0.8%), driven by non-rural goods as coal and iron ore fell as adverse weather negatively impacted port operations. Rural goods also contributed to the fall, following strong harvest yields exported in the previous quarter. Exports of non-monetary gold rose with ongoing demand, particularly from Asia.
Exports of services fell (-2.1%), with weakness in education and other personal travel in line with lower than usual student numbers, lower student spend, and weakness in overseas arrivals.
Gross value added (GVA) grew 0.3% driven by business services with ongoing demand for engineering design and IT consultancy, and increased data centre operations.
Construction contributed to the rise with higher activity across residential construction services, apartment projects and data centre fit outs. Manufacturing rose with heightened demand for fertilisers and pesticides from farms. Mining was the largest detractor as coal production was negatively impacted by Cyclone Koji.
Consumer facing service industries including Retail Trade, Accommodation and Food Services and Arts and Recreation Services recorded weakness with subdued household spending on discretionary goods and services.
Gross operating surplus (GOS) was flat (0.0%).
Private non-financial corporations Gross Operating Surplus (GOS) fell 1.1%, led by Mining with decreased prices and sales volumes, particularly for iron ore and coal. Non-mining GOS rose, driven by Construction, Information Media and Telecommunications, Wholesale Trade and Manufacturing.
Financial corporations GOS rose 2.4% driven by growth in loan balances, particularly for investor and business loans. Margins rose as effective interest rates on loans rose more than interest rates on deposits.
Compensation of employees (COE) increased 1.2%.
Labour market conditions remained tight with the unemployment rate (4.3%) rising slightly by the end of March. Hours worked grew 0.9%, with relative strength in market sector hours worked (+1.0%) compared to the non-market sector (+0.5%).
Private sector COE rose 1.5%, reflecting higher headcount, increased activity and hours worked in Construction, Professional, Scientific and Technical Services, and Administrative and Support Services. Public COE (0.0%) was flat but remains 6.1% higher through the year. Growth in South Australia and Victoria was driven by health, education and policing roles. These rises offset falls in New South Wales, Queensland and Tasmania due to lower headcounts following redundancies in tertiary education.
The household saving to income ratio fell to 6.2%, with the growth in gross disposable income (+0.4%) outpaced by the rise in nominal household consumption (+1.1%).
The rise in gross disposable income was driven by COE and interest received, but was slower overall as receipts from non-life insurance claims declined after a temporary rise in the December quarter. Income payable rose, driven by income tax payable and interest on dwellings. The rise in interest receivable and payable are in line with increased interest rates on loans and deposits during the quarter.
| Dec 25 to Mar 26 (% change) | Mar 25 to Mar 26 (% change) | Dec 25 to Mar 26 (ppt contribution to GDP growth) | |||
|---|---|---|---|---|---|
| Final consumption expenditure | |||||
| General government | -0.2 | 2.8 | - | ||
| Households | 0.5 | 2.5 | 0.3 | ||
| Total final consumption expenditure | 0.3 | 2.6 | 0.2 | ||
| Gross fixed capital formation | |||||
| Private | |||||
| Dwellings | 0.7 | 3.5 | - | ||
| Ownership transfer costs | -4.1 | 6.1 | -0.1 | ||
| Non-dwelling construction | -0.1 | 1.5 | - | ||
| Machinery and equipment | 16.3 | 23.9 | 0.7 | ||
| Cultivated biological resources | -1.9 | 0.3 | - | ||
| Intellectual property products | 1.7 | 7.8 | - | ||
| Public | 0.9 | 1.1 | 0.1 | ||
| Total gross fixed capital formation | 3.0 | 6.5 | 0.7 | ||
| Changes in inventories | na | na | - | ||
| Gross national expenditure | 0.9 | 3.5 | 0.9 | ||
| Exports of goods and services | -1.1 | 3.7 | -0.3 | ||
| Imports of goods and services | 2.1 | 7.8 | -0.5 | ||
| Statistical discrepancy (E) | na | na | 0.1 | ||
| Gross domestic product | 0.3 | 2.5 | 0.3 | ||
- nil or rounded to zero (including null cells)
na not available
Income estimates are in seasonally adjusted current prices
| Dec 25 to Mar 26 (% change) | Mar 25 to Mar 26 (% change) | Dec 25 to Mar 26 (ppt contribution to GDP growth) | ||
|---|---|---|---|---|
| Compensation of employees | 1.2 | 5.9 | 0.6 | |
| Gross operating surplus | ||||
| Private non-financial corporations | -1.1 | 2.6 | -0.2 | |
| Other (a) | 1.5 | 6.3 | 0.2 | |
| Gross mixed income | -0.6 | 3.5 | - | |
| Taxes less subsidies on production and imports | 0.6 | 6.0 | 0.1 | |
| Statistical discrepancy (I) | na | na | - | |
| Gross domestic product | 0.6 | 5.3 | 0.6 | |
- nil or rounded to zero (including null cells)
na not available
a. Includes Public non-financial corporations, Financial corporations, General government and Dwellings owned by persons.
| Dec 25 to Mar 26 (% change) | Mar 25 to Mar 26 (% change) | Dec 25 to Mar 26 (ppt contribution to GDP growth) | |
|---|---|---|---|
| Agriculture, Forestry and Fishing | 0.1 | -0.7 | - |
| Mining | -1.5 | 3.1 | -0.2 |
| Manufacturing | 1.2 | 3.2 | 0.1 |
| Electricity, Gas, Water and Waste Services | -0.9 | -0.4 | - |
| Construction | 0.9 | 1.9 | 0.1 |
| Wholesale Trade | 1.0 | 3.3 | - |
| Retail Trade | 0.2 | 1.5 | - |
| Accommodation and Food Services | -0.4 | 3.4 | - |
| Transport, Postal and Warehousing | -1.3 | 2.2 | -0.1 |
| Information Media and Telecommunications | 1.4 | 6.2 | - |
| Financial and Insurance Services | 0.6 | 4.9 | - |
| Rental, Hiring and Real Estate Services | 1.1 | 3.5 | - |
| Professional, Scientific and Technical Services | 1.6 | 1.7 | 0.1 |
| Administrative and Support Services | 1.5 | 3.3 | 0.1 |
| Public Administration and Safety | 0.2 | 1.2 | - |
| Education and Training | 0.5 | 2.0 | - |
| Health Care and Social Assistance | 0.1 | 2.2 | - |
| Arts and Recreation Services | -0.1 | 1.0 | - |
| Other Services | 1.1 | 3.9 | - |
| Ownership of dwellings | 0.4 | 1.5 | - |
| Taxes less subsidies on products | 1.2 | 4.9 | 0.1 |
| Statistical discrepancy (P) | na | na | -0.1 |
| Gross domestic product | 0.3 | 2.5 | 0.3 |
- nil or rounded to zero (including null cells)
na not available
| Dec 25 to Mar 26 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| NSW | Vic. | Qld | SA | WA | Tas. | NT | ACT | Aust.(b) | ||
| Final consumption expenditure | ||||||||||
| General government | -0.5 | 0.2 | 0.0 | 0.7 | -1.0 | -1.0 | 0.0 | 0.2 | -0.2 | |
| Households | 0.4 | 0.5 | 0.6 | 0.6 | 0.7 | 0.1 | 0.9 | 0.4 | 0.5 | |
| Gross fixed capital formation | ||||||||||
| Private | 9.5 | 3.5 | 1.4 | -1.7 | 1.1 | -1.1 | -6.9 | -10.4 | 3.6 | |
| Public | -1.0 | -0.6 | 5.0 | 4.9 | 0.2 | -4.3 | 2.3 | 0.2 | 0.9 | |
| State final demand | 1.8 | 0.9 | 0.9 | 0.5 | 0.5 | -0.7 | -0.4 | -0.6 | 1.0 | |
- nil or rounded to zero (including null cells)
a. Change on preceding quarter
b. Australia estimates relate to Domestic final demand.
The map shows quarterly chain volume measures of state final demand by state and territory.
New South Wales' state final demand increased 1.8% for the quarter.
Victoria's state final demand increased 0.9% for the quarter.
Queensland's state final demand increased 0.9% for the quarter.
South Australia's state final demand increased 0.5% for the quarter.
Western Australia's state final demand increased 0.5% for the quarter.
Tasmania's state final demand increased -0.7% for the quarter.
Northern Territory's state final demand increased -0.4% for the quarter.
Australian Capital Territory's state final demand increased -0.6% for the quarter.
There are revisions in this issue due to the incorporation of more up-to-date data and concurrent seasonal adjustment.
In the March quarter 2020 release of the Australian National Accounts: National Income, Expenditure and Product, the ABS advised that trend estimates for all series in the National Accounts would be suspended from June 2019 due to the significant economic impacts of the COVID-19 pandemic.
Following the return of all time series from forward factors to concurrent adjustment, the ABS began seeking feedback on user needs with national accounts trend series in the December quarter 2024 release with a view to re-instating trend in the future.
Following the end of the consultation period, the ABS has decided to reinstate National Accounts trend estimates in the upcoming June quarter 2026 edition of the Australian National Accounts: National Income, Expenditure and Product to be released on 2 September 2026. Due to the degree of disruption caused by the COVID-19 pandemic into the years following, trend estimates for a certain number of quarters will remain suppressed, as trend estimates during this period are likely to be misleading to users.
The March quarter 2026 issue of Australian National Accounts: Finance and Wealth will be released on 25 June 2026. This publication includes the quarterly household balance sheets with an estimate of net worth. It also provides quarterly estimates of the financial flows and balance outstanding between sectors and various sub-sectors of the domestic economy and with the rest of the world. Other key estimates within the publication include the financial instrument markets, demand for credit by non-financial domestic institutional sectors during the quarter, and their corresponding levels of credit outstanding and quarterly sectoral capital accounts (current price).
The 2023-24 issue of Australian National Accounts: Input-Output Tables was released on 25 March 2026. This product provides detailed information about the supply and use of products in the Australian economy and the structure of, and inter-relationships between, Australian industries. It presents information on input by industry and output by product group, use of domestic production, imports by industry and final demand categories, taxes and margins on supply by product, and industry and product concordances.
The April 2026 issue of the Monthly Household Spending Indicator was released on 28 May 2026. The Monthly Household Spending Indicator is derived using aggregated, de-identified banks transactions data from some of Australia’s banking and financial institutions. The ABS transforms the banks transactions data in order to derive the Monthly Household Spending Indicator. As this data is not designed for statistical purposes, its scope varies from Australian National Accounts concept of household final consumption expenditure (HFCE) and the Retail Trade turnover estimates for retail businesses.
This release previously used catalogue number 5206.0.