BUDGET FUNDS FOR MINERALS; STUDY RETURN

Budget boost for critical minerals

Ahead of the March 29 Federal Budget, the Federal Government has announced a $250 million package to support the growth of Australia’s critical minerals sector. In Perth this week, Prime Minister Scott Morrison committed $200 million to an accelerator grants program and $50 million to support research and development for home-grown extraction, refining and processing of critical minerals. Resources and Water Minister Keith Pitt said Australia was blessed with “extraordinary reserves” of critical minerals needed by the defence, aerospace, automotive and energy sectors. He said Australia produced around half the world’s lithium and was the second-largest producer of cobalt and the fourth-largest producer of rare earths.

International student numbers moving up

International student numbers entering Australia are on the rise again, almost two years after Covid-19 closed borders. In January, the Australian Bureau of Statistics recorded the entry of more than 28,000 international students, compared to the 360 international students who entered in January 2021. The latest monthly figure for international students, however, is still almost 70 per cent less than the pre-coronavirus level of January 2019. More than 70 per cent of international students entering in January were enrolled in higher education, and 15 per cent in vocational education and training. Meanwhile the 265,000 total international arrivals in January represented the highest monthly figure since March 2020.

Defence projects in pre-Budget spotlight

Defence spending has emerged as a major priority in the forthcoming Federal Budget, with the Morrison Government committing $4.3 billion to deliver Western Australia’s first large-vessel dry berth at the Henderson shipyard. The new dry dock will enable the construction and sustainment of large naval vessels, with work proposed to start next year and initial operations to begin in 2028. In addition, Defence Minister Peter Dutton announced that the Australian Army would acquire 24 new uncrewed aerial surveillance systems, as part of a $650 million investment. Mr Dutton said the new platform, to be manufactured in Brisbane, would provide the Army with enhanced abilities to gather intelligence and to undertake reconnaissance and surveillance missions.

Population growth near stagnant

Australia’s population grew by just 0.3 per cent in the year to September 2021, recording almost -68,000 in net overseas migration. Population figures released by the ABS show that without migration, national population rose by almost 70,000 to 25.8 million. Queensland recorded the highest annual population growth rate of 1.1 per cent for the 12-month period, while Victoria suffered a 0.5 per cent loss in population. The ACT and Northern Territory also registered slight falls in population.

Unemployment at 14-year low

As migration has stalled, national unemployment has fallen to four per cent, a level not recorded since 2008, according to latest ABS figures. Underemployment (those who want to work more hours) also fell to 6.6 per cent, also the lowest figure in almost 14 years. While the seasonally-adjusted jobless rate was four per cent, the rates varied widely across the country. The ACT recorded the lowest unemployment rate at three per cent, followed by NT (3.5 per cent), NSW (3.7 per cent) and Tasmania (3.9 per cent). South Australia recorded a jobless rate of five per cent.

Election day in SA

South Australians go to the polls tomorrow (Saturday, March 19), with opinion polling leaning towards an election of a Labor Government over the incumbent Liberal Party, led by Premier Steven Marshall. Opposition Leader Peter Malinauskas needs to pick up four seats in the 47-seat SA Lower House to achieve an outright majority.