WA businesses have called out economic uncertainty as a key challenge moving into 2017. RSM Australia recently polled 300 WA business leaders on their key concerns at its annual economic briefing.


The briefing featured a keynote by HSBC chief economist Paul Bloxham, who provided his insights and views on the WA economy.

Con Paoliello, Managing Partner – Perth, RSM Australia, said,

“Our poll found that 60 % of business leaders see economic uncertainty as a key challenge which is driving increased competition and margin pressure. WA businesses are adapting to the new norm in the state economy with many businesses re-focussing their efforts into new markets and efficiencies to remain competitive.’

RSM's Poll

RSM’s poll also showed that other major concerns confronting WA business leaders were collection of debt and declining revenue, with four in 10 business leaders expecting challenges maintaining gross margins.

Interestingly, in light of these concerns, increasing operating costs, and the AUD/US exchange rate were not seen as a major challenges.

Overall Optimism

Overall, the attendees at the briefing, said they are still feeling optimistic about the WA economy – with 74% rating it as good to very good.

Paul Bloxham, chief economist, HSBC, commented,

“When you look back on it, the biggest challenge for WA is that it didn’t save enough when the mining boom was strong. Policymakers spent too much in general during the mining boom, and the stuff [developments] that was happening then should be happening now that the mining boom was over.

There needs to be a keener refocus on other [non-mining) industries, like tourism, education and business services which is where future growth will come from.”