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Prime Minister Scott Morrison to unlock $3.8b to revive ailing economy

Prime Minister Scott Morrison will use a speech at the Business Council of Australia’s annual dinner in Sydney on Wednesday to announce an extra $3.8 billion infrastructure spending boost for the economy.

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Prime Minister Scott Morrison will release an extra $3.8 billion in infrastructure spending as the government continues trying to jolt the sluggish economy into life.

Mr Morrison will use a speech at the Business Council of Australia’s annual dinner in Sydney tonight to announce the funding, which comprises $2.72 billion brought forward, and an additional $1.06 billion in new money.

The money is designed to “supercharge’’ the economy and will be spent over the next four years on projects already under way, or ready to begin.

Mr Morrison will reiterate the government’s will to remain calm in the face of a stagnant economy, saying: “If Australians wanted to elect economic panic merchants, they would have voted Labor.’’

Prime Minister Scott Morrison. Picture: Getty Images
Prime Minister Scott Morrison. Picture: Getty Images

He will highlight government moves since the election to inject into the economy almost $10 billion, including tax relief of $7.2 billion, drought assistance of $550 million, and $1.8 billion in new funding and fast-tracked spending for infrastructure, to be made available in the next two years.

While the speech does not reveal what projects the money will go towards, the government is focusing on infrastructure this week, with a $415 million announcement in Adelaide on Monday, and Queensland and Western Australia announcements due any day.

A possible spending boost for Victoria is likely to be announced by week’s end.

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Mr Morrison will say the infrastructure spending boost would support the economy in two ways — “by accelerating construction activity and supporting jobs in the near term, and by reaping longer run productivity gains sooner”.

“Every state and territory will benefit, with significant transport projects to be accelerated in all jurisdictions — all within the context of our $100 billion 10-year infrastructure investment plan,’’ he will say.

He will say the election was “a vote for staying the course on a policy agenda that has worked to rebuild our nation’s finances, retain our AAA credit rating and start paying down our debt, so as not to further burden future generations.’’

ellen.whinnett@news.com.au

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Original URL: https://www.heraldsun.com.au/news/prime-minister-scott-morrison-to-unlock-38b-to-revive-ailing-economy/news-story/1889e2a4df971628d95a297ef7bbcdc2