New South Wales GSP fell 0.7% in 2019-20, the state's first fall in recorded history. The COVID-19 pandemic related restrictions and containment measures, drought and bushfires drove the weakness.
Tourism and recreation related industries such as Transport, Postal and Warehousing, Accommodation and Food Services, Arts and Recreational Services and Administrative Support Services were adversely impacted by both the onset of the COVID-19 pandemic and bushfires over the summer months.
Drought conditions continued in 2019-20, resulting in Agriculture GVA to fall 9.1%, recording its third consecutive fall.
Dwelling investment remained weak, falling 15.5%, the steepest decline since 2000-01. This was reflected in a fall in Construction GVA (-4.8%), the largest industry detractor from growth.
Professional, Scientific and Technical Services GVA (4.2%) partly offset the fall, driven by increased demand for computer systems, cyber security services and web services as workplaces enabled working from home arrangements and businesses adopted alternate business models.
Health Care and Social Assistance GVA rose 4.4%, driven by the public sector response to COVID-19 and continued demand for disability services. Private health services contracted reflecting restrictions on elective surgeries and reductions in visits to medical practitioners and allied health services.