Real-time thoughts & analysis of the markets, economy & more...
Co-founder & CEO of AllenWargent property buyers & WargentAdvisory (subscription market analysis for institutional clients).
Check us out here
Pete Wargent blogspot
Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), and CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).
4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.
"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.
"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.
"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.
"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.
"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.
Thursday, 22 September 2016
Population growth accelerates
Immigration rising again
Well, it's lucky you read this blog and not what you'd have heard elsewhere about Australia's population growth collapsing or dropping off a cliff.!
Popular perception is often 12-18 months behind the reality.
The figures to March 2016 showed that population growth was actually accelerating again by the beginning of this calendar year, the reasons for which have been discussed here often (including that most of the so-termed 'permanent' departures return to Australia within a year).
Personally I think that in the wash-up even the official figures will prove to be under-cooked when the eventual impact of international students is fully accounted for, but for now let's take a look at the Australian Demographic Statistics for the March 2016 quarter.
Components of growth
Net overseas migration of +66,043 in Q1 2016 was a solid +6 per cent increase on the prior year., taking the annual total back above +180,000.
As the population ages and the annual number of deaths creeps higher, policy makers will continue to target the demographic dividend of bringing in young migrant workers, which helps to raise the participation rate and slow the impact of the ageing incumbent population.
The natural increase of the population of +146,763 was comparatively lower than net overseas migration.
Adding this up, it's no real surprise to see total population growth in the March quarter accelerating to +107,497.
Annual growth accelerates
Annual population growth increased to +327,610, up from +322,843 in the December 2015 quarter.
Perhaps it's little wonder that Australia's cities ended up with an infrastructure deficit as the population blazed past 24.05 million in the first quarter of this year.
After all, the ABS forecasts released in 1999 expected today's population to be 2.7 million lower!
What is true is that population growth in regional Australia has dropped substantially as the mining investment boom ended.
Next up I'll take a look at the population growth at the state level, where we'll see that the largest three cities have grabbed an increasing share of the pie.