Media Statements - Interest rate cut good news for Western Australians: Premier

8/02/01

Premier Richard Court says the latest interest rate cut and predictions of a further fall in April are good news for Western Australians - and not just those with mortgages.

Mr Court said the decision by the Reserve Bank to cut official interest rates by half a percentage point would stimulate both the State’s housing sector and provide another positive signal to potential investors in the State.

“At present there is around $70 billion worth of possible or committed projects in this State and a low interest rate 'environment‘ makes the decision to proceed that much easier,” he said.

“WA is already a proven and attractive location for investors, with almost 40 per cent of the nation’s prospective business investment earmarked for our State.”

Mr Court said a fall in interest rates would also provide another boost to the State’s home building industry.

“WA has one of the most active housing markets in Australia and a lower home mortgage rate, combined with incentives such as the $7,000 First Home Owner grant, makes a home that much more affordable,” he said.

“Whether it be increased business investment or increased activity in the housing sector, it all translates to further jobs growth and an even stronger economy. Good news for all of us.”

Media contact: Casey Cahill - 9222 9475