This growth, combined with low levels of investment, has started to put pressure on capacity utilisation (Graph 2). It is also relevant that businesses are reporting stronger business conditions than at any time since before the financial crisis. Graph 2  Another important part of the investment story recently is strong growth in investment in public infrastructure (Graph 3).
The pick-up has been particularly noticeable in spending on transport infrastructure in the eastern states and the pipeline of work to be completed is large. The extra investment is directly creating demand in the economy today and adding to tomorrow's productive capacity.