“Dramatic changes in migration intake can create shocks in demand for private sector businesses, including those in the residential building industry. Changes to migration policies that slow population growth risk adversely impacting Australia’s potential for economic growth,” stated HIA’s Chief Economist, Tim Reardon.
ABS data shows that Australia’s annualised population growth rate increased, by 0.03% to 1.63% over the year to December 2018.
“Australia is continuing to attract skilled migrants and students from overseas, despite strong competition from other markets,” added Mr Reardon.
“Population growth in Australia has remained strong and stable for the past three years.
“It is prudent for governments to maintain a stable, well-rounded migration intake as part of an overall population policy. This must including a strong level of skilled migration as part of the intake.
“Stable growth in population is a welcome development given the risk that further declines would pose for the residential building industry at this particular point in the cycle,” concluded Mr Reardon.