Queensland has the fastest economic growth rate in the nation, CommSec's latest State of the States report shows.
While the quarterly data labelled Western Australia as the best-performing economy, Queensland maintained the fastest annual economic growth rate in the nation, up 4.2 per cent on a year ago.
Business investment was also strong, but there was weakness in population growth.
Queensland Premier Campbell Newman says the government's hard work turning the state's finances around is beginning to yield benefits.
"Our government has made it very clear that Queensland is once again open for business," he said.
"These key indicators are further proof our four-pillar economy is now the fastest growing in Australia."
Opposition Leader Annastacia Palaszczuk says the state's jobless rate is still well off the four per cent promised by the LNP during the election.
"There are some promising signs, but once again employment is heading in the wrong direction," she said.