The Economics report of Deloitte Access said,” unlike diamonds, mining booms are not forever.” It said,” WA would be protected from a global economic downturn because of the construction of projects already underway.” It also describes the strong growth of job market.
However the report forecasts that the new project will be peaked in 2014-15.
The treasurer of the state Troy Buswell said, “even if that happens, WA will still enjoy a rate of growth of four percent.” He also said,” Most Australian Premiers would take four percent growth in their economy any day of the week. People in the eastern states wake up every day to news of factory closures and job cuts, like at the Ford factory last week.”
Dana Mason from the WA Chamber of Commerce told- “In WA you wake up to news of new investment opportunities opening up hundreds if not thousands of jobs for people in this state and more broadly around Australia.” She believes that the outlook will be more brighter than the report forecasts.
She also told, “There is a significant amount of investment that will continue to boost the economy for a number of years to come.”
Mark McGowan, the leader of opposition party said, “The report shows WA needs to be more than just a mining state, and the tourism and manufacturing industries should be nurtured.”
The register of The Chamber of Minerals and Energy, Howars Smith told, “The exploration industry sees some challenges on the horizon as investors look elsewhere.”
He also told. “What we do find is that their long term attention is focussed on other places, other jurisdictions, particularly in Africa, and that is a concern.”
Mr. Smith said, “The cost of doing business is Australia is becoming far too high.”
He said, “In Western Australia, companies do a West Australian Government approvals process and that’s often duplicated by an almost identical process for the Federal Government. That’s duplication, that’s twice the expense. That micro-economic reform, that’s an area that we do have to focus on to make sure that in the long term people do invest here”
The report predicts that the mining sector is leading the economy of the country as well as solving the issues between Europe and China.