The headline is expected at +2% q/q, prior was +3%
- Tax incentives should give the number for ‘plant and equipment a boost.
Also in the release is the sixth estimate for capex in 2020/21.
- upgrades for both mining and non-mining intentions are expected
The second estimate for 2021/22 investment plans should also show an upgrade
Preview, this via Wesptac (in brief)
- The recovery in equipment spending appears to have extended into 2021… Businesses are optimistic, activity is rebounding briskly and tax incentives are generous.
- On the construction side, the risk is that the downtrend resumes … tracking softer commencements.
- With the economy rebounding more quickly than anticipated, 2020/21 capex plans have recovered somewhat and prospects are for capex to lift in 2021/22. Further upgrades are likely in this survey
- Guessing what businesses will guess for Est 2 of 2021/21 is challenging. Potentially, Est 2 will be in the order of … 10% upgrade on Est 1