- Commonwealth Bank flags an increase in spending across New South Wales, Victoria, and the ACT as lockdown restrictions across the states continue to lift
- Last week, spending grew 3 per cent nationally, with Victorian spending up 2 per cent week-on-week and NSW spending up seven per cent
- CBA says weekly spending is 18.6 per cent higher than the corresponding week in 2019, which the big bank considers the last ‘normal’ year
- CBA Chief Economist Stephen Halmarick says vaccination rates are pointing to a faster-than-expected spending recovery
- Today’s news follows the CommSec quarterly State of the States report which once again pegged Tasmania as having the best-performing economy in the country
Commonwealth Bank has flagged an increase in spending across New South Wales, Victoria, and the ACT as lockdown restrictions across the states continue to lift.
The big bank said week-on-week spending rose three per cent last week nationally. Victorian spending grew two per cent, while New South Wales — which began to emerge from lockdown on Monday, October 11 — grew by seven per cent.
What’s more, weekly spending was up 18.6 per cent compared to the corresponding week in 2019, which CBA said was considered the last ‘normal’ year.
This information comes from CBA’s credit and debit card spending data.
CBA Chief Economist Stephen Halmarick said national spending growth had now recovered to be only slightly below its pre-lockdown pace.
“The post-lockdown recovery in spending has been impressive so far,” Mr Halmarick said.
“Spending patterns nationally continue to reflect the economic reopening in NSW, Vic and the ACT.
“In-store spending has continued to rise, as has spending on services, while spending on food and alcohol goods for home consumption fell.”
He added that vaccination rates were pointing to a faster-than-expected spending recovery.
The Victorian data includes just one day of post-lockdown spending, though CBA noted spending in the state was already on the rise before restrictions lifted last week.
“A strong pick up is expected in upcoming data, with restrictions further easing from Friday including the opening of all retail stores,” Mr Halmarick said.
Tasmania still the strongest state
Today’s spending report follows the CommSec quarterly State of the States report, released yesterday, which once again pegged Tasmania as the best-performing state in the country, economically.
This marks the seventh consecutive quarter Tasmania has outperformed the other states, leading four of the eight economic indicators measured in the CBA report, and placing second for another three.
These indicators include construction, retail spending, relative employment, and relative economic growth.
The ACT placed second overall, and WA and NSW tied for third.