The Territory has a small open economy that is significantly influenced by external factors, such as investment associated with major projects, economic conditions in trading nations, commodity prices and exchange rates. The structure of the economy reflects the Territory’s abundant natural resources, strategic defence significance, tourism attractions and relatively large government and community services sector.
After a strong rebound in the domestic economy in 2020-21, economic growth is forecast to average 2.4% per annum in the five years to 2024-25. Gross state product is estimated to increase by 4.7% in 2020-21 and state final demand by 4.2%. This reflects a significant turnaround in the domestic economy, notably private investment which is estimated to increase by 9.6% in three years.
For more information on the Territory’s economy, view the industry outlook on the NT Budget 2021 website.