Posted on 31. May, 2012 in News
Private investment in Victoria’s manufacturing sector is continuing to plummet, with new figures released today highlighting why the Baillieu Government needs to release a plan to get the state back on track, Shadow Minister for Manufacturing Adem Somyurek said today.
The Australian Bureau of Statistics figures reveal private investment in manufacturing has fallen 26.9 per cent – or $229 million – in the March 2012 quarter, compared to the December 2011 quarter.
Figures also show in the last quarter there has been a 7.5 per cent drop in infrastructure investment and a 3.3 per cent drop in equipment investment. That equates to a $260 million drop in capital investment across all Victorian industries in the last three months.
“Victoria’s economy is going backwards under Ted Baillieu and these figures are further evidence that Premier needs to release a jobs and investment plan,” Mr Somyurek said.
“This data clearly shows that private investors don’t have confidence in the Victorian economy – but it’s not surprising when the state is being led by a Premier who has done nothing to create jobs or attract investment to Victoria.
“Private New Capital Investment is one of the ABS’s main economic indicators and it shows a surge of capital investment in the mining states, with Victoria being the big loser.
“Private investors are telling Mr Baillieu exactly what they think of his Government’s economic management by taking their money out of Victoria,” Mr Somyurek said.
Mr Somyurek said the Baillieu Government’s 2011 manufacturing statement was nothing but a flimsy document lacking in substance.
“Mr Baillieu can no longer sit idly by hoping that the economy will fix itself – he needs to start working for families and industry,” he said.
“The Baillieu Government has been too timid to put any money behind a single major capital project and that sentiment has been transferred to private investors.
“The significant drops in investment are hurting Victoria’s business confidence and without action from the Baillieu Government these figures will get worse.”