News dalla rete ITA

7 Febbraio 2018



There are certain signs that Australia’s infrastructure boom is getting stronger for longer according to industry research and forecasting consultancy Macromonitor. Macromonitor has updated its major transport infrastructure summary out to 2023, showing investment soaring over the next two years to run at more than $16 billion a year for the following three years. The less spectacular expenditure on transport infrastructure construction more than doubles the total spend to $36-37 billion in 2020. The infrastructure surge serendipitously arrives as housing construction cools, more than compensating for that slowdown and extending Australia’s extraordinary run of unbroken economic growth. Transport infrastructure should provide the base for confidence in growth over the forecast period. Construction is another sector with signs of genuine wage growth. The evidence coming from building companies shows that companies bidding for projects are finding a gap between expected costs and reality in the time between tendering and work starting as the price of sub-contractors is bid up. The pursuit of broader wages growth and healthier inflation numbers remain the Reserve Bank Australia’s key domestic concern as housing becomes less problematic. The peak bulge of spending on Sydney’s WestConnex and metros is still coming. NSW continues to dominate the investment, entering a virtuous cycle of growth funding the spending that spurs the growth to pay for the spending. (ICE SYDNEY)