The Westpac-Melbourne Institute Leading Economic Index in Australia added 0.1% month-over-month in February 2025, keeping the same pace as in the previous month. Meanwhile, the six-month annualized growth rate in the index, which indicates the likely pace of economic activity relative to the trend three to nine months into the future, rose to 0.8% from 0.6% in January. The latest figure showed the economy is continuing to see a gradual lift in momentum but with the detail suggesting external developments are starting to exert a modest drag. The head of Australian Macro-Forecasting, Matthew Hassan, expects a further slowing in inflation will give the RBA sufficient confidence to deliver more rate cuts this year with the next move coming at the May meeting. He also estimates GDP growth to track a slow rise throughout 2025, reaching 2.2% yoy by year-end. While that would be a material improvement on the 1.3% gain in 2024, it implies a relatively subdued performance. source: Melbourne Institute

Leading Economic Index Australia increased 0.10 percent in February of 2025 over the same month in the previous year. Leading Economic Index in Australia averaged 0.00 percent from 1960 until 2025, reaching an all time high of 0.69 percent in November of 2020 and a record low of -1.92 percent in April of 2020. This page provides the latest reported value for - Australia Leading Economic Index - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news. Australia Leading Economic Index - data, historical chart, forecasts and calendar of releases - was last updated on March of 2025.

Leading Economic Index Australia increased 0.10 percent in February of 2025 over the same month in the previous year. Leading Economic Index in Australia is expected to be 0.20 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the Australia Leading Economic Index is projected to trend around 0.20 percent in 2026, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2025-02-19 12:00 AM
Westpac Leading Index MoM
Jan 0.1% 0% 0.2%
2025-03-19 12:00 AM
Westpac Leading Index MoM
Feb 0.1% 0.1% 0.2%
2025-04-17 01:00 AM
Westpac Leading Index MoM
Mar 0.1% 0.2%


Related Last Previous Unit Reference
Bankruptcies 1214.00 727.00 Companies Feb 2025
Building Capital Expenditure 0.20 1.90 percent Dec 2024
NAB Business Confidence -1.00 5.00 points Feb 2025
Business Inventories 0.10 -0.70 percent Dec 2024
Capacity Utilization 82.80 82.40 percent Dec 2024
Passenger Car Sales 12787.00 12783.00 Units Feb 2025
Changes in Inventories 38.00 -298.00 AUD Million Dec 2024
Composite Leading Indicator 100.23 100.19 points Feb 2025
Company Gross Profits 130361.00 123049.00 AUD Million Dec 2024
Corruption Index 77.00 75.00 Points Dec 2024
Corruption Rank 10.00 14.00 Dec 2024
Industrial Production -1.30 -0.20 percent Dec 2024
Industrial Production Mom -0.80 0.40 percent Dec 2024
Ai Group Industry Index -17.60 -17.40 points Feb 2025
Ai Group Services Index -10.90 -14.90 points Jan 2025
Ai Group Construction Index -3.70 -20.00 points Feb 2025
Ai Group Manufacturing Index -8.20 -22.70 points Feb 2025
Westpac Leading Index MoM 0.10 0.10 percent Feb 2025
Manufacturing Production -2.00 -0.50 percent Dec 2024
Mining Production -2.30 -1.40 percent Dec 2024
New Orders 24.00 9.00 points Dec 2024
Plant Machinery Capital Expenditure -0.80 1.30 percent Dec 2024
Private Capital Expenditure -0.20 1.60 percent Dec 2024
Small Business Sentiment -12.00 -4.00 points Sep 2024
New Vehicle Sales 94993.00 86804.00 Units Feb 2025

Australia Leading Economic Index
The Westpac-Melbourne Institute Leading Index of Economic Activity combines a selection of economic variables that typically lead fluctuations in economic activity into a single measure that provides a reliable cyclical indicator for the Australian economy. The index includes the following components: S&P/ASX 200, dwelling approvals, US industrial production, RBA Commodity Prices Index (A$), aggregate monthly hours worked, Westpac-MI CSI expectations index, Westpac-MI Unemployment expectations index, yield spread (10Y bond – 90D bill). The index has a base value of 100 as of 1996.
Actual Previous Highest Lowest Dates Unit Frequency
0.10 0.10 0.69 -1.92 1960 - 2025 percent Monthly
1996=100


News Stream
Australia Leading Index Up Slightly
The Westpac-Melbourne Institute Leading Economic Index in Australia added 0.1% month-over-month in February 2025, keeping the same pace as in the previous month. Meanwhile, the six-month annualized growth rate in the index, which indicates the likely pace of economic activity relative to the trend three to nine months into the future, rose to 0.8% from 0.6% in January. The latest figure showed the economy is continuing to see a gradual lift in momentum but with the detail suggesting external developments are starting to exert a modest drag. The head of Australian Macro-Forecasting, Matthew Hassan, expects a further slowing in inflation will give the RBA sufficient confidence to deliver more rate cuts this year with the next move coming at the May meeting. He also estimates GDP growth to track a slow rise throughout 2025, reaching 2.2% yoy by year-end. While that would be a material improvement on the 1.3% gain in 2024, it implies a relatively subdued performance.
2025-03-19
Australia Leading Index Improves
The Westpac-Melbourne Institute Leading Economic Index in Australia edged up 0.1% month-over-month in January 2025, after remaining unchanged in the previous month. Meanwhile, the six-month annualized growth rate in the index, which indicates the likely pace of economic activity relative to the trend three to nine months into the future, surged to a 2-1/2 year peak of 0.58% from 0.24% in December. Westpac anticipates gradual GDP growth improvement in 2025, reaching 2.2% year-on-year by year-end, up from the lackluster 0.8% pace seen by September 2024. The head of Australian Macro-Forecasting, Matthew Hassan, expects more monetary easing this year following the Reserve Bank's 25bps cash rate cut in its first monetary policy gathering in 2025. However, he noted that the case for further cuts is unlikely to be strong enough for the board to move again at its next meeting.
2025-02-19
Australia Leading Index Muted
The Westpac-Melbourne Institute Leading Economic Index in Australia remained unchanged month-over-month in December 2024, following a 0.1% rise in the previous month. Meanwhile, the six-month annualized growth rate in the index, which indicates the likely pace of economic activity relative to the trend three to nine months into the future, declined to 0.25 in December from the prior 0.33, while staying positive for the second straight month. Westpac expects GDP growth to show a gradual improvement throughout 2025, reaching 2.2% yoy by year-end, a material improvement on the dismal 0.8% pace seen over the year to September 2024 but still a lackluster result. Meanwhile, further moderation in inflation is expected to clear the way for less restrictive interest rate settings eventually. However, the head of Australian Macro-Forecasting Matthew Hassan projected the Reserve Bank of Australia to keep the official cash rate on hold in February with an easing more likely to commence in May.
2025-01-22