Canberra’s economy is dominated by the government sector, primarily the Australian federal government. Construction, health care, retail, higher education and services made up significant parts of the territory’s economy in 2014.
As of May 2011, Canberra’s unemployment rate was 3.4%, lower than the national rate of 5.1% (although there are labour shortages in some sectors of the economy).
As a result of its low unemployment and high levels of government and commercial employment, Canberra has the highest disposable income of any Australian capital city. The median weekly wage in Canberra is AUD$1,702, compared to the national average of AUD$1,485.80. The median price of a house in the city in September 2009 was AUD$511,820, lower than Sydney, but higher than Melbourne and Perth. The average house price in September 2006 was AUD$375,000, and in November 2006 it was AUD$411,305. The average weekly rent in Canberra is higher than in any other state or territory in Australia. For example, in January 2014 it was $410 per week, making the city the third most expensive in the country.
The main sectors of the economy are government administration and defense, which employ about 33.9% of Canberra residents (in total they provide 29.8% of the territory’s gross domestic product). Among the employers in the public sector are the Departments of Defense, Finance, Foreign Affairs and Trade, and the Treasury. Some of the establishments of the Australian Armed Forces are located in the city or near it. The former military base Fairbairn, located next to Canberra International Airport, was sold to airport operators and currently serves VIP clients.
The city is also home to a number of software companies serving government agencies: QSP, TOWER Software, RuleBurst and The Distillery.
