14 May, 2024

Australian Investment Council welcomes Federal Government’s investment focused budget

CANBERRA: The Australian Investment Council welcomes the Australian Government's 2024-25 Budget, particularly its strong commitment to increased investment through its Future Made in Australia plan. 

“This is an investment focused budget that will see the Government work alongside investors through its $22.7 billion ‘Future Made in Australia’ package,” Australian Investment Council CEO, Navleen Prasad, said tonight.

The Council said Australia’s private capital sector is well-placed to meet the Government’s vision for a Future Made in Australia with $17 billion of capital available for deployment in the Australian economy, coupled with its strong track record of backing businesses economy wide, including start-ups and growth businesses.

Tonight’s budget also sees the government balancing the immediate priorities of alleviating cost of living pressures with the ongoing need to prioritise investment in areas of unmet need and unrealised opportunity, Ms Prasad said.

The Council is also encouraged by the Government’s commitment for the Net Zero Economy Authority to work with investors to help shape an effective ‘front door’ or entry pathway to private capital investment in Future Made in Australia priorities, Ms Prasad said. 

“The Council has long advocated for improved opportunities for private investment in the economy and is keen to work with the Government to ensure that an effective ‘front door’ meets its commitments to harness private investment in its Future Made in Australia.”

The Council also welcomes the Government’s decision to streamline a number of processing arrangements for applications to the Foreign Investment Review Board. With $65.5 billion of assets under management across the private capital industry in 2023, and more than 40 per cent  of investors in Australian private capital funds from outside Australia, the Council strongly supports the Government’s commitment to streamlining approvals processes, particularly the commitment of $15.7 million to deliver a more transparent approach to foreign investment. 

Ms Prasad said: “The refund of 75 per cent of application fees for unsuccessful competitive bids is a positive start to reforming the foreign investment review processes. We have been advocating strongly on this issue and look forward to further consultation on other measures the Government is considering.” 

The Council notes the Government’s strengthening of regulatory Environment, Social and Governance (ESG) measures to encourage best practice across the private sector. 

Ms Prasad urged the Government to work closely with industry on the implementation of the measures announced tonight: “As an industry body with a commitment to these measures, we encourage the Government to work with industry from consultation stage through to co-design.

“The implementation of these initiatives will determine their success and we encourage government to take a fresh look at how to bring the best expertise from across the public and private sectors together.”

Read more analysis of the Federal Budget here.

Media inquiries
Australian Investment Council: +61 2 8243 7000
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About the Australian Investment Council

The Australian Investment Council is the peak body for private capital in Australia. Comprising leading private equity, venture capital, private credit, family offices, superannuation, and sovereign wealth funds, our members collectively manage over $61 billion for investment into the establishment and growth of Australian businesses. The Council’s members support more than 850 businesses of varying sizes across every sector of the economy, and directly or indirectly employ close to 500,000 people in Australia. The Australian Investment Council requests its name always appear in full and not abbreviated or as an acronym.
For more information visit investmentcouncil.com.au