Dana Wortley (SA, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Treasurer, Senator Conroy. Can the minister explain to the Senate how the government’s nation-building agenda will help shield Australia from the difficult global economic circumstances?

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

I thank Senator Wortley for that question. We know that every economy in the world today is facing tough economic conditions as developments in global financial markets buffet economies and share markets around the world. Of course, we are not immune from these global developments. The Rudd government is confident that the policy settings that we will come through with in these difficult times will put us in a stronger position than that of other economies. A key part of our plan is a series of nation-building initiatives that will underpin and enhance Australia’s long-term economic prosperity. Nation building means lifting the productive capacity of the economy. It means boosting productivity, lifting international competitiveness and investing in our human capital. The Prime Minister and the Treasurer have announced today that we will fast-track our nation-building agenda to help shield Australians from the global financial crisis. This involves accelerating the implementation of the government’s three nation-building funds. Interim infrastructure reports will be brought forward to December 2008 so that work can commence in 2009 on projects in the key areas of education and research, health and hospitals, and transport and communications.

The Rudd government is taking decisive action to sustain growth and to protect Australians from the fallout from the global financial crisis. To fast-track these projects, the government will be seeking referral of the legislation for the nation-building funds to a Senate committee this week. The government calls on the opposition to make sure that there are no obstacles to the implementation of this commitment. The Rudd government is committed to speeding up the implementation of the government’s nation-building funds so that projects can be funded as early as possible, accelerating the establishment of boards for the Health and Hospitals Fund and the Education Investment Fund.

Today’s announcement builds on the Rudd government’s recent decision to ask Infrastructure Australia to produce an interim report on the national infrastructure priority list by December 2008. Fast-tracking the nation-building agenda can secure economic activity in the short term and expand growth potential in the medium to long term. The Rudd government has already commenced the first funding round of the Education Investment Fund, receiving some 14 submissions for new research facilities and capital expenditure in Australia’s universities. The government has already committed more than $26 billion to its three funds: $12.6 billion towards the Building Australia Fund, for transport and communications infrastructure; $8.7 billion towards the Education Investment Fund, for education infrastructure; and $5 billion towards the Health and Hospitals Fund, for health infrastructure. The Rudd government recognises that investment in infrastructure and skills is the key to unlocking the productivity potential of the economy.(Time expired)