Capex in mining rises 5.6% in Sept quarter, 0.6% nationally

The news: Capital expenditure in mining rose sharply in the September quarter, but other industries fell after lifting for four straight quarters, dragging the national figure below expectations.

The numbers: Mining capex grew 5.6% in the third quarter, 10.7% higher than a year ago. Nationwide capital expenditure growth was 0.6% for the quarter, after the strong mining figure was offset by non-mining industries, which slid by 1.3%. Expenditure on new equipment and machinery expenditure grew 0.5% and 0.7% for buildings and structures.

The context: The national figure of 0.6% growth missed expectations of 1.0%, and followed 3.4% capex growth the previous quarter. The Reserve Bank has said it expects business investment to continue to grow, helped by population growth and capacity utilisation.