The Abbott Government will roll out the nation’s biggest infrastructure program to strengthen the economy, ease congestion, cut travel times and create thousands of new jobs.
The Abbott Government will establish an Asset Recycling Fund to build productive infrastructure on 1 July 2014.
The initial contributions to the Fund of $5.9 billion will come from the uncommitted funds from the Building Australia Fund and the Education Investment Fund. Further contributions will be made through the proceeds from privatising Medibank Private and from other asset sales.
The Abbott Government has committed an additional $11.6 billion to transport infrastructure through the Infrastructure Growth Package in this Budget.
The Package will leverage over $58 billion in additional infrastructure, which will connect communities, deliver growth and boost employment.
Payments will be made to States and Territories under the Infrastructure Growth Package. Proceeds from the sale of existing assets will be recycled into new productivity-enhancing infrastructure, as well as expedite nationally significant projects across the country.
This spending is part of an economic strategy to build a strong, prosperous economy and a safe and secure Australia.
The Asset Recycling Fund will be used to fund this Package and further productive infrastructure in the future.
This Fund is about ensuring that the proceeds of asset sales provide a dedicated funding source to build the critical new infrastructure we need.
By making the right decisions today, we are creating a stronger economy for tomorrow – with more well-paid jobs so that Australians can get ahead.