Industry Super calls for more government infrastructure investment in alignment with Greens policy

Australian Greens Treasury spokesperson, Senator Peter Whish-Wilson, today supported calls by Industry Super Australia for more government action on infrastructure.

Senator Whish-Wilson said, “Industry Super funds should be commended for their long-term investment strategy that sees them more willing to invest in nation-building infrastructure than other super funds.

“The Greens were the only party that took a costed infrastructure policy to the election that took advantage of the low cost of borrowing to significantly increase our nation’s infrastructure investment.

“Inflation figures released this week have again reinforced the need for government to pull the fiscal trigger to avoid a low-growth trap and more money flowing into unproductive property speculation.

“Continued inaction by the government will put further pressure on monetary policy and make the Reserve Bank’s job even harder. Any further interest rate cut that is not accompanied by an injection of government money into infrastructure will only blow a bigger housing bubble.

“Economists the world over are screaming for governments with capacity to invest in productivity-enhancing and transformative infrastructure. Australia is blessed with the potential our $2 trillion worth of superannuation savings provides. Government needs to facilitate investment of superannuation funds towards public infrastructure that will sure up employment in the immediate term and help build a 21st Century economy.

“The Greens also support Industry Super’s calls for an overhaul of the model for attracting private equity to reduce the cost to government of equity-financed infrastructure. Industry Super’s Inverted Bid model would separate capital raising from procurement, and break open the cabal currently being operated by a consortia of investment banks and construction companies through public-private partnerships, ” he concluded.
Australian Greens Treasury spokesperson, Senator Peter Whish-Wilson