Three months since Scott Morrison wrote to the States and Territories flagging he was finally open to fast tracking infrastructure investment, not a single project has been announced.
The Reserve Bank Governor has called for greater investment in infrastructure at least seven times since the election, particularly in regional Australia.
Today, the RBA Governor is backed by leading fund managers – Investors Mutual – who penned a strong letter criticising the Morrison Government’s reliance on monetary stimulus and proposing a range of fiscal stimulus measures, including incentives to increase infrastructure investment.
Yesterday, a chorus of thirteen senior economists added their weight, each supporting the RBA Governor’s call that further stimulus is needed. Ten of the group explicitly called for the Morrison Government to use fiscal stimulus – like fast tracking infrastructure investment – to support the sluggish economy.
The calls add to an ever growing list in support of fast tracking infrastructure investment including Ai Group, Ernst & Young, Master Builders Australia, NAB and HostPlus.
We know that the States and Territories are in active, ongoing consultations with the Federal Government on opportunities to bring forward infrastructure projects.
Despite this repeated advice from all corners and proposals from many of the states, there is complete inertia from the Morrison Government.
Departmental Officials confirmed at the recent Senate Estimates that fast track conversations with the States and Territories are just a part of the standard budget processes.
Scott Morrison needs to bring forward the budget update and outline a plan to fast track infrastructure to support the economy that is floundering on his watch.