Fast Facts

Key Message: Sydney and NSW is a hub for the Asia Pacific region 1. Sydney is the business centre of Australia with headquarters of leading foreign banks and blue-chip international corporations located in NSW 2. NSW is a key economy in the Asia Pacific and the NSW economy is larger than each of the national economies of Hong Kong SAR, Thailand, Malaysia, Singapore, the Philippines and New Zealand1 3. Sydney and NSW offer an internationally competitive and compelling location for global companies to be based as they are home to the largest proportion of Asia Pacific regional headquarters in Australia5 NOTE: this is 2002 4. Sydney is the financial hub of Australia, with 80% of all foreign and domestic banks in Australia headquartered here.11 5. Australia is currently ranked fifth in the world for financial development. (The Financial Development Report 2011 World Economic Forum) 6. The financial services workforce of Sydney is around 45% of the size of Londons and New York Citys25 7. Sydney is the Asia Pacific hub for banking and insurance, foreign exchange, equities, futures and managed funds and services to finance companies 8. The Australian Stock Exchange, based in Sydney is the first major market to open each day and is the 12th largest in the world by capitalisation (or the 6th largest in terms of float or freely available share capital) (http://www.business.nsw.gov.au/invest-in-nsw/about-nsw/trade-and-investment) 9. Australias ICT market is the fourth largest in the Asia Pacific and Sydneys competitiveness has attracted 76% of the Asia Pacific ICT regional headquarters and operating centres based in Australia 10. The wide variety of Asian languages spoken in Sydney and NSW has attracted international firms looking to establish regional hubs of customer service centres in the Asia Pacific. 11. NSW is a leading low cost world scale producer of a range of metals and minerals including coal, gas, metallic minerals, industrial minerals and construction materials (ChinA4-03-2010)

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Key Message: Sydney is a connected city 12. Sydney has Australias busiest airport, accounting for over 40% of Australias international aircraft movements and over 43% of Australias international air passenger movements in 2009-2010 13. Sydney is Australias logistics and transaction gateway with almost 50% of Australias international air freight tonnage passing through Sydney in the year to June 2010. (http://www.business.nsw.gov.au/invest-in-nsw/about-nsw/infrastructure-and-business-costs/airport-logisticsairport-movements) 26 14. The bulk of air freight exports from Sydney are destined for Asian markets. (2009 online competitiveness report) Not stated in the 2010 report (safe assumption given majority of trade is to Asia) 15. 73% of the States goods were exported to Asia Pacific (http://www.business.nsw.gov.au/invest-in-nsw/about-nsw/trade-and-investment/export-markets-by-region) 16. With extensive links to international markets, the value of NSW exports in 2010-11 was $57 billion 17. Newcastle is the worlds largest international export coal port 18. In 2009-10, over 377,000 tonnes or 49.7% of Australia's air freight was loaded or discharged at Sydney airport's cargo terminals. 2011 online competitiveness report 19. The NSW Government is presently involved in a number of initiatives to improve infrastructure and increase capacity. These include broadband, energy, port productivity and land transport and public transport 20. Sydney is the leader in business investment in R&D. This makes it the best placed Australian capital city to leverage the capacity afforded by NBN.

Key Message: NSW is the hub of Australias economic activity and has the most diverse economy 21. In 2010-11, NSWs Gross State Product was valued at $438.59 billion or about 31.3% of Australias Gross Domestic Product (GDP). 22. The capital city of New South Wales, Sydney, contributes almost a quarter of Australia's GDP and ranks above both Singapore and Hong Kong SAR in terms of economic output. 2011 online competitiveness report 23. NSW is a major regional and international hub. Within Australia, it is home to the following as a percentage of the Australian total: 6

73% of property and business services regional offices; 60% of manufacturing regional headquarters;

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81% Asia Pacific finance and insurance regional offices; 76% of all information and communications technologies regional

headquarters; 75% of headquarters of multinational pharmaceutical companies in Australia7 81% of the headquarters of Australias domestic and foreign bank8; and 43% of Australian information and communications technology specialist

businesses. 9

24. In 2010-11 NSW had the following share of the Australian total: Finance and insurance (44% share) Professional, scientific and technical services (35% share) Information, media and telecommunications (44% share) Manufacturing (33% share)1

25. NSW is a hub of sophisticated and innovative global businesses operating in a strong and diverse economy thereby providing the capacity to withstand changing economic circumstances. 26. Big business choose to be based in NSW, with 45 % of the top 500 companies by revenue in Australia based here.10 [http://www.business.nsw.gov.au/invest-in-nsw/about-nsw/trade-and-investment/location-of-top-500-companies-in-australia]

27. NSW is the leading Australian state for business investment ($48.2 billion12) and more than a third13 of all of Australian businesses choose to be in NSW. Manufacturing

28. NSW has the largest manufacturing industry in Australia and is a leader in exports of manufactured goods, particularly advanced manufactures. (Fast Facts Oct 11) ICT 29. NSW is the home of ICT in Australia, accounting for 39% of total ICT businesses in Australia in 2009, and almost 37% of employment in the ICT industry in 20102 [http://www.business.nsw.gov.au/invest-in-nsw/about-nsw/infrastructure-and-business-costs/information-and-communications-technology-businesses]

Medical

30. The State leads exports of medicinal and pharmaceutical products, worth $1.4 billion or 4% of total NSW merchandise exports in 2010-11 and professional and scientific equipment ($0.8 billion) (Fast Facts Oct 11)

31. As at June 2009, about 34% of medical and surgical equipment manufacturing companies in Australia were in NSW3 Mineral resources

1 ABS, Cat. No. 5220.0, National Accounts State Accounts, 2010-11 2 ABS Cat. No. 8165.0, 2008-09; ABS Cat. No. 6291.0.55.003, Feb 2011 3 ABS, Cat. No. 8165.0, Counts of Australian Businesses, including Entries and Exits, Jun 2007 to Jun 2009

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32. NSW is also a large exporter of mineral resources. In 2010-11, coal exports accounted for $10.9 billion or 30% of total NSW merchandise exports20, in addition non-ferrous metals exports were worth $2.3 billion or 6.4 % of total NSW exports in 2010-1121

Financial 33. Sydney is the financial hub of Australia and NSW generates 44% of Australias financial and insurance services income 24

34. Sydney is the head office location of the Reserve Bank of Australia, the Australian Securities Exchange, the International Banks and Securities Association of Australia and the Australian Financial Markets Association Food & beverage 35. As at June 2009, NSW had the largest number of food and beverage manufacturing businesses of any state in Australia4 Creative Services 36. Sydney dominates the film, music, broadcasting, publishing, games, interactive media, software development, advertising, and industrial and virtual design sectors (Fast Facts Oct 11) 37. NSW is a leader in the area of post-production and digital and visual effects, generating over $360 million worth of work over the past four years (Source: Screen Australia), representing two thirds of the Australian total. NSW is home to 80% of motion picture, radio and television services businesses that are in the top 500 companies in Australia. 38. NSW dominates the Australian creative services and specialist ICT industries. The creative industries in NSW employ more than 186,000 people, which is 38.3 % of Australia's creative industries workforce and the NSW ICT industry employs almost 37% of the national total the largest state shares in Australia 27

Tourism 39. NSW is the nations premier tourist destination with the lions share of all international tourists to Australia (51%) in the year ending September 2011 more than any other state30

Key Message: Sydney & NSW offer a secure business environment 40. NSW is recognised as financially stable, with the State Government awarded triple-A credit ratings from both Moodys and Standard & Poors4

[http://www.business.nsw.gov.au/invest-in-nsw/about-nsw/economic-and-business-climate/international-long-term-credit-ratings]

4 ABS, Cat. No. 8165.0, Counts of Australian Businesses, including Entries and Exits, Jun 2007 to Jun 2009

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41. Australia is in better economic shape than many countries to resist the worst of overhang of the the synchronised global recession 42. Australia is known for its resilience and stability. (Fast Facts Oct 11) 43. Australian and State Government fiscal response to stimulate the economy has supported activity (Fast Facts Oct 11) 44. Australian Government and Reserve Bank intervention to provide capital, liquidity and bank guarantees has helped build confidence in the financial system. (Fast Facts Oct 11) 45. Australia is well placed in the current environment because (Fast Facts Oct 11)

The fundamentals of the Australian economy are sound Australia has well regulated financial institutions Australia is in a stronger fiscal position than almost all other developed

countries Australia is located in a region that is still growing, though at a slower rate.

46. NSW is a low risk business environment and is high ranking in terms of ease of doing business and low barriers to entry 47. Sydneys business infrastructure is particularly strong, with open and well-regulated legal and banking systems and long term political stability 48. Companies operating out of Australia have tariff-free access to a large majority of goods and services to the US market through a free trade agreement 49. Australia ranked third in the world for political stability in the IMD World Competitiveness Yearbook 2010 and has been ranked in the top four countries for this indicator for the last 11 years. (20011 online competitiveness report) 50. Australia has a strong and flexible economy, which was the 13th largest in the world in 2009. The economy has proven its resilience, recording 19 uninterrupted years of growth to 2009-10. (20011 online competitiveness report) 51. Australia's economy was recognised by the IMD World Competitiveness Yearbook as the second most resilient in the world in 2010. (20011 online competitiveness report) 52. Australia has been rated the most resilient economy in the world for six of the last nine years. For countries with populations greater than 20 million, Australia again ranked first in 2010, and on this basis has topped this indicator in eight of the last nine years. (20011 online competitiveness report)

Key Message: Sydney bridges time zones

53. Sydney bridges the closing of the US and the opening of the European markets 54. Sydney is the first financial centre to open in the Asia time zones

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Key Message: NSW has knowledge based economy with strong R&D and innovation capabilities 55. More than 85% of the States industry value-added accrues to the services sector3, reflecting NSWs strength of its highly developed knowledge-based and technical support industries 56. NSW is Australias leading services State2. Sydney accounts for most of the States 40% of all Australian services exports in 2010-11 ($20.1 billion)19 57. Operating in a mature services economy, the people of Sydney possess a sophisticated range of commercial and technical skills 58. NSW is Australias largest exporter of professional, financial, computer and other business services 59. NSW is a centre for international learning and business

60. NSW is the nations leader in research and development, with businesses in NSW spending $6.2 billion in 2009-10, compared with $3.8 billion in Victoria and $2.9 billion in Western Australia (ABS)34 61. NSW has the highest level of business expenditure on research and development in medical and health sciences in Australia 62. New South Wales attracted more than 37% of Australian businesses' total spending on R&D in 2009-10. The State was the location for 50% of national business R&D expenditure in services, including 78% of financial and insurance services R&D, 53% of health care and social assistance R&D expenditure and 52% of wholesale trade R&D expenditure. Additionally, 51% of coal mining businesses' R&D expenditure took place in New South Wales. (2011 online competitiveness report) 63. NSW is taking a lead role in finding clean and sustainable energy solutions and Sydney will set a global benchmark in sustainability with the construction of Barangaroo, one of the worlds first climate positive precincts, commencing in 2011 64. New South Wales boasts 11 universities, two of which - the University of Sydney and University of New South Wales - are ranked in the top 200 in the world by the Times Higher Education-QS World University Rankings 2011-12. (2011 online competitiveness report) and 130 technical colleges providing quality education and training to local and international students

Key Message: NSW and Sydney has a multicultural and skilled workforce 65. Around 52% of the States working-age population are tertiary educated, the second-highest proportion of all Australian States16

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66. International education services from NSW accounted for $5.8 billion in 2010-11, representing 37% of the Australian total22 thereby demonstrating that a large number of international students are attracted to living and studying in NSW 67. Sydney is one of the worlds most multicultural cities with more than 1.3 million or 30% of Australias overseas-born residents living in Sydney 68. About 200 languages are spoken in Sydney 69. Sydney has the highest proportion of non-English speakers with a bachelor degree or higher of any Australian city 70. NSW is home to the largest concentration of managers, professionals and skilled workers of all Australian states

Key Message: The gateway to Australia, Sydney is a great place to live, work and study 71. Sydney was named as worlds best city brand in 2007 and 2008 by the Anholt City Brands Index and was ranked second in the world in 2009 (Fast Facts Oct 11) 72. Sydney is also repeatedly chosen by leading international travel publications as the world's best city for travellers. (Fast Facts Oct 11) 73. Sydney has an excellent quality of life Sydney was rated 10th out of 221 cities in the Worldwide Quality of Living Survey published by Mercer in 2010 an attraction for global companies transferring staff to NSW. (Fast Facts Oct 11) 74. Regional NSW offers business opportunities with a more relaxed lifestyle (Fast Facts Oct 11)

References 1 World Economic Outlook, October 2010, International Monetary Fund (based on estimates of GDP in $US dollars for 2010) 2 ABS Cat. No. 5220.0, State Accounts, 2010-11 3 ABS Cat. No. 5220.0, State Accounts, 2010-11 (gross value added excludes ownership of dwellings) 4 Standard and Poor's as at 9 December 2010; Moody's as at 22 February 2011. 5 2002 data. 6 Sourced from Invest Australia data commissioned in 2002 unless otherwise specified. 7 Medicines Australia Membership list, June 2008 8 Derived from APRA's list of Authorised Deposit-taking Institutions (ADIs), 11 February 2009. 9 ABS Cat. No. 8126.0, 2006-07 10 IBISWorld, as at March 2011. 11 Derived from the Australian Prudential Regulation Authority's list of Authorised Deposit-taking Institutions, 15 June 2010 12 ABS Cat. No. 5206.0 Australian National Accounts, March Qtr 2011 13 ABS Cat. No. 8165.0 Counts of Australian Businesses, 2010-11 16 ABS Cat. No. 6227.0, May 2011 19 ABS Cat. No. 5368.0.55.003, 2010-11 20 ABS unpublished data, February 2011 21 ABS unpublished data, February 2011 22 ABS Cat. No. 5368.0.55.003, 2010-11 24 ABS Cat. No. 5220.0, 2010-11

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25 Austrade Data 2011, Financial Services Benchmark Report 2011, September 2011 (data from mid 2010) 26 Bureau of Infrastructure, Transport and Regional Economics, Year Ended June 2009 27 ARC Centre of Excellence for Creative Industries and Innovation as quoted in the Sydney Morning Herald, 15 June 2009; ICT shares based on ICT occupations, ABS Labour Force Survey 30 Tourism Research Australia, International Visitors Survey (YE September 2011) 34 ABS Cat No 8104.0, 2009-10 35 Office of Science and Medical Research, based on Australian Research Council Centres of Excellence Program Unit (funding for 2009/10).

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NSW Fast Facts