ACT Chief Minister Andrew Barr has described the territory's economy as dynamic and resilient, just a week after a damning review of the government's finances by economist Saul Eslake. Speaking at a Committee for Economic Development of Australia event in Canberra on Thursday, March 12, Barr painted a glowing picture of the territory's economic performance.
“Our economy continues to deliver what businesses and investors value most: stability, resilience, and sustained growth,” Barr said in his state of the territory address. He highlighted three consecutive decades of economic growth, with gross state product expanding by 3.5% in 2024-25. “The forecasts for future growth are robust with continued strength expected in public demand and services,” he added.
Barr noted that income from international education exports in the ACT has more than doubled from $633 million to $1.54 billion between 2015-16 and 2023-24, while tourism now accounts for 16% of major services exports. He also welcomed Infrastructure Australia's push for the Sydney-Canberra rail line to be a national priority, but argued that “flying is largely how people get here.”
The address came after economist Saul Eslake published a scathing report of the territory's fiscal position, blaming policy decisions for the decade-long deterioration of the ACT government sector's finances. Barr only briefly touched on the billions of dollars from the federal government for a new hospital funding agreement, following a “perfect storm” in the health sector in 2025.
On Canberra's city centre, Barr lauded the “significant overhaul” of the CBD, including the planned entertainment precinct, new Lyric Theatre, and light rail extension. Light rail works have blockaded parts of the centre's west for over a year, while Garema Place has been fenced off for new paving and a luxury hotel. “With more people choosing to call Canberra home, there is a need to strategically invest in new, and renewed, infrastructure across the territory,” Barr said.
