The Australian government's new federal budget was announced on April 9, and it detailed a new $56 billion investment in infrastructure. At Webforge, we work closely with engineers to supply a range of walkways, ramps, stairways and civil drainage applications. We're really excited to see how the new financing will help improve infrastructure and construction all over Australia. Here's what we know about the investment so far.
What does the government plan to spend the money on?
The government has announced new funding for a range of infrastructure projects across Australia. This includes a $5 billion project to build a new airport in Sydney. The government sees this as a necessary step in reaction to Sydney's growing population (which topped 5 million last year and is set to continue rising, according to the Australian Bureau of Statistics). The city's increased tourism, particularly from Asia, was also a factor in the decision.
The second major project the government has announced is an $8.4 billion investment in a 1,000-mile long high-speed railway. It is hoped that this new train line will take grains and other Australian goods to port within 24 hours. This is to allow for a more efficient process, as Australia's exports, particularly in food and agriculture, continue to grow. Exports of goods and services from Australia rose to $33.34 billion, while rural goods alone rose 7 per cent, to be worth $4.14 billion, according to Trading Economics.
On top of this, the government intends to spend the money on general infrastructure. "To support growth we choose to invest in building Australia, rail by rail, runway by runway, and road by road," Treasurer Scott Morrison said.
The future's looking up for Australia
The new infrastructure investment is hoped to improve Australia's current economic situation. The government believe the budget deficit will fall to $2.5 billion by 2020, swinging to a surplus of $7.4 billion by mid-2021.
The investment was encouraged by the International Monetary Fund (IMF), which said that it was the perfect time to restore Australia's aging infrastructure, especially as borrowing costs are currently at a record low.
All of this new infrastructure will surely be a boost for Australia. It's essential that the engineers and construction companies working on these new projects have good quality safety features and civil drainage applications in place. Webforge understands the importance of good project management, and delivering projects on time, which is why many leading firms in this industry rely on Webforge.
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