Population

IBISWorld expects the Australian population to increase by 1.4% during 2023-24, to reach 27,022,720 people. Growth in the population comes from natural increases, represented by births minus deaths, and net overseas migration. Net migration consists of three broad categories, which are net permanent arrivals, net temporary residents, and net other arrivals, such as returning and departing citizens. Population growth was subdued over the three years through 2021-22. The Australian Government's border restrictions in relation to the COVID-19 pandemic limited migration into the country. As restrictions eased, net migration rebounded, which is expected to continue to drive population growth over the current year.

Over the past five years, the total population has increased. Improving medical technology and advances in healthcare services have contributed to population growth, as life expectancy has risen and people are living longer. As a result, the number of people aged 70 and over is growing at a faster rate than the overall population, which is indicative of Australia's ageing population. The proportion of people in this age group relative to the total population was 5.3% in 1970-71, which has increased to 12.0% in 2021-22. Population growth has been slowed by a decline in net migration over the past five years, which is primarily due to the COVID-19 pandemic, with international border closures limiting the number of arrivals. Overall, IBISWorld forecasts the Australian population to grow at a compound annual rate of 1.3% over the five years through 2023-24.