CommBank’s State of the States ranks NT last in nation again in overall economic performance

Prices for everyday goods have jumped more than six per cent in Darwin in a year, and CommBank’s latest State of the States report has ranked the NT last in economic performance.

UPDATED: THE Property Council of Australia has expressed fears the NT could lose population once it reopens to the rest of the nation.

It comes after the Northern Territory ranked last in the latest CommSec State of the States report, released on Monday.

Property Council NT executive director Ruth Palmer said despite the report identifying strong relative population growth in the NT, other indicators were lagging.

“Our retail spending, construction and economic growth were all among the lowest in the country despite our growing population relative to other states,” Ms Palmer said.

“In other words, if people aren’t moving out because of Covid, then the population is likely to be growing.”

Michael Gunner has labelled the report as “misleading nonsense”.

Ms Palmer said the plans outlined by Chief Minister Michael Gunner to reopen the NT’s borders to the rest of Australia in coming months could see the Territory’s fortunes in population growth reversed.

“When the southern states reopen and resume business, which appears imminent, we are worried that we will lose population,” she said.

“This will further distort our property market, a scenario we have warned about for the last year. We were not prepared for it.”

Ms Palmer called for action on job creation, liveability, housing affordability and crime.

Opposition Leader Lia Finocchiaro said the report was an indictment on the government’s performance managing the economy.

“While relative population growth is a rare bright spot, up 0.48 per cent annually, the Gunner Government shouldn’t be patting itself on the back,” Ms Finocchiaro said.

“Labor has done nothing to attract and retain workers in the Territory.”

Chief Minister Michael Gunner however labelled the report as “misleading nonsense”.

“It does not compare us with other jurisdictions – it compares the NT to its own 10-year average, which obviously included the Inpex construction boom.”

Mr Gunner said job ads and house prices had increased.

EARLIER: PRICES for everyday goods such as groceries and electronics has jumped more than six per cent in Darwin in a year, marking the highest inflation rate of any Australian capital city.

The Commonwealth Bank’s latest State of the States report has however ranked the Territory dead last in overall performance.

The quarterly document, released on Monday morning, found the NT was only leading the rest of the country when it came to “relative population growth”.

In a hit to families, Darwin also topped the country when it came to inflation. The annual cost of consumer goods shot up by 6.1 per cent in the NT capital, well above other major cities.

The report found the Territory was the weakest in terms of its economic growth compared to previous years.

But there are signs of green shoots, with CommSec saying the NT and Queensland will be the big winners from strong commodity prices.

The NT was weakest in retail spending, economic growth, construction activity and new dwelling starts.

Prices for everyday goods have jumped more than six per cent in Darwin in a year Picture: Joshua Davies

“Northern Territory construction work done in the June quarter was 62 per cent below the

decade-average,” the report said.

But it found the Territory was attracting new residents at a rate well above the rest of the states and territories.

CommSec said that the NT was “now the strongest on relative population growth, with its 0.48 per cent annual population growth rate”.

The result was a dramatic turnaround from just six months ago, when the NT was last in the country for relative population growth.

The CommSec State of the States report has received a mixed reaction from the Territory’s political leaders.

Opposition Leader Lia Finocchiaro has previously used the report to go after the government’s handling of the Territory economy.

But the Chief Minister and Treasurer Michael Gunner has dismissed the State of the States as inaccurately portraying the NT, saying its comparison of the Territory’s performance over a decade means the data is skewed against the Inpex boom.