Finance first in value added

The credit crunch can't be all that much of a dislocation to the world of finance, with value added from the collective efforts of an army of 400,000 workers being one of the most robust results in Australia's economy in the December 2007 quarter.

The Australian Bureau of Statistics estimates of value added by industry sector (on a trend basis) show that finance and insurance increased by a thumping 15 per cent in the year to December 2007, double the rate of trend growth estimated only a quarter ago.

Finance and insurance is the fastest growing sector of the economy if these estimates are right and producing almost twice the growth in valued added as communication services and more than four times the estimated rate of economic growth of 3.9 per cent.

Looking back at some earlier ABS data, the ABS estimated that there was no growth in employment in finance and insurance in the year to November 2007.