June key figures
Financing resources and investment, original, current prices
|Non-financial corporations||Financial corporations||General government||Household||Total National||Rest of world|
|Net saving (a)||13.0||3.4||17.0||-9.2||24.2||-7.5|
|plus Consumption of fixed capital||40.1||3.2||10.1||30.7||84.2||-|
|plus Net capital transfers||0.4||-||-1.0||0.4||-0.2||0.2|
|less Statistical discrepancy (b)||-||-||-||-||-13.6||-|
|Total financing resources||53.6||6.6||26.1||21.9||121.7||-7.3|
|Uses of financing (Investment)|
|Gross fixed capital formation||52.8||3.7||22.5||40.1||119.1||-|
|plus Change in inventories||-3.5||-||0.1||-1.3||-4.7||-|
|plus Net acquisition of non-produced non-financial assets||-0.6||-||0.6||-||-||-|
|Total capital formation||48.7||3.7||23.2||38.8||114.4||-|
|plus Financial investment|
|Acquisition of financial assets||30.2||4.6||14.0||38.9||1.8||-2.2|
|less Incurrence of liabilities||18.2||19.5||17.4||28.6||-2.2||1.8|
|Net financial investment (Net lending (+) / net borrowing (-))||12.0||-14.9||-3.5||10.3||3.9||-3.9|
|less Net errors and omissions||7.1||-17.8||-6.3||27.3||-3.3||3.3|
- nil or rounded to zero (including null cells)
a. Net saving for the Rest of world is the balance on the external income account.
b. The statistical discrepancy is not able to be distributed among the sectors.
Australia’s national investment remains elevated
National investment continues to remain at high levels, increasing $13.7b in June quarter 2019 to $114.4b.
Private non-financial corporations invested $42.6b over the quarter, up $3.3b from March quarter 2019. Investment in machinery and equipment was the driver this quarter, with large mining companies continuing to invest in autonomous machinery.
Households invested $38.8b, up $2.2b from the previous quarter. The increase was driven by dwelling investment as is typical in the June quarter. However the magnitude of the rise was smaller than usual, reflecting the continuing softness in the established housing market.
Australia is a net lender for the first time in 39 years
National net lending was $3.9b in June quarter 2019, which was the first time Australia was a lender to the rest of the world since March quarter 1980. Australia repaid $2.2b of liabilities with non-residents and acquired $1.8b of financial assets
During the quarter, non-resident bank short term debt securities matured ($18.3b) and $15.9b of bank derivative contracts settled. These were partly offset by non-residents acquiring $28.9b of private non-financial corporations' shares and other equity.
Residents acquired $14.7b of overseas shares and other equity, with pension funds and private non-financial corporations acquiring $9.9b and $8.7b respectively. The rest of the world repaid $3.4b of their bank loans and settled $16.3b of their derivative contracts with banks.
Non-financial corporations were net lenders of $12.0b, driven by acquisition of deposits ($11.9b) and equity ($10.6b) while they repaid $3.0b of loan borrowings and had maturities of $4.6b of short term debt securities.
The general government was a net borrower of $3.5b, driven by issuances of long term debt securities ($9.5b) and loan borrowings ($7.3b), which were offset by the acquisition of currency and deposits ($5.8b) and equity ($4.1b).
Households were net lenders of $10.3b, accruing $34.9b in net equity in reserves of pension funds (superannuation). This was partly offset by loan borrowings of $22.9b.