An economy with strong and consistent growth
Victoria represents 3 per cent of Australia's total land mass, accounts for 22 per cent of national GDP and competes with the largest economies in South East Asia.
For more than two decades, our economy has delivered strong and consistent growth supported by a diverse economy and a long history of prosperity across many industries.
Robust export markets
Victoria continues to create economic opportunities with the world's export markets. We account for 24.3 per cent of Australia's total exported goods, and are Australia's largest supplier of premium food and fibre products – accounting for around 25% of Victoria's total goods and services exports in 2014-15.
International education continues to prosper as our largest services export, and Melbourne remains Australia's premier destination for international visitors and students.
The highest possible credit rating
For the past 10 years, Victoria has managed to retain a triple-A credit rating which is indicative of our consistently strong economic performance, sensible financial management along with Australia's extremely supportive institutional framework.
We have delivered 23 years of continuous economic growth and offer a safe, low-risk and stable investment environment.
The world's top performing companies
Melbourne continues to be the number one choice for a large number of both domestic and foreign-owned businesses. Six of the world's top 10 and 29 of Australia's top 100 companies choose to establish their headquarters and conduct their business in Melbourne above any other state in Australia.
Our economy has delivered strong and consistent growth for more than the past two decades, and while Victoria represents only 3 per cent of Australia's total land mass, we account for close to a quarter of Australia's economic activity (22 per cent of national GDP).1
Victoria is Australia's largest supplier of premium food and fibre products. In 2017-18, the state's total food and fibre exports accounted for over 27 per cent of Australia's food and fibre exports. We export more than 80 per cent of Australia's dairy exports, 48 per cent of Australia's horticultural exports and 39 per cent of Australia's prepared food exports.2
Our international education sector is Victoria's largest service-based export.3 In 2017-18 education services increased by 17 per cent from 2016-17, and tourism spending increased by 16 per cent from 2016 to 2017, indicative of a significant rise in international tourists and students choosing Melbourne as their premier destination to visit, live and study.4
Victoria's aerospace industry is a key supplier to the global aviation supply chain, and Victoria's transport equipment industry contributes approximately A$3.5 billion to the economy each year.
Victoria is one of only two Australian states to receive a triple-A credit rating from agencies Standard & Poor's4 and Moody's5 – a rating we've managed to maintain for the past 18 years and a reflection of our consistently strong economic performance that's delivered 23 years of continuous economic growth.
- On 24 August 2017, Standard & Poor’s reaffirmed the State of Victoria’s triple-A credit rating, citing ‘the state’s very strong financial management and economy, exceptional liquidity and the extremely predictable and supportive institutional framework’.
- On 28 August 2017, Moody’s reaffirmed the State of Victoria's triple-A rating with a stable outlook, citing ‘Victoria’s credit quality reflects ample financial flexibility, healthy operating surpluses and a diverse economic base'.
For the next 2 years Victoria has forecast budget surpluses6 which will continue to:
- support our triple-A credit rating
- provide a stable taxation environment for Victorian businesses
- allow the government to expand its ongoing investment in world-class infrastructure.
We're also the number one choice for a large number of both domestic and foreign-owned businesses. Six of the world's top 10 and 29 of Australia's top 100 companies choose to establish their headquarters and conduct their business in Melbourne above any other state in Australia.7
- ABS, cat. no. 5220.0, Nov 2015
- Victorian Food and Fibre Export Performance Report 2017-18
- ABS International Trade in Services by State, Financial Year 2017-18, cat. no. 5368.0.55.003
- International Visitor Survey, Tourism Research Australia, December 2017
- Standard and Poor's Ratings Services, Ratings Direct, Victoria, August 2015
- Moody's Investor Services, Credit Opinion, Victoria, February 2016
- Victorian State Budget 2014-15
- IBISWorld Top 2000 Companies Sept 2015