The Australian Government has announced it will bring forward $6.15 billion in concessional finance to support businesses, with a focus on strengthening manufacturing and supply chains affected by global disruptions.
According to a government media release, the accelerated funding is aimed at protecting local manufacturing and supply chain operations from market volatility, while supporting investment in increased production capacity, capability and decarbonisation.
The funding package includes the $1 billion Economic Resilience Program, the $5 billion Net Zero Fund, and $150 million through the Forestry Growth Fund. All three initiatives sit under the broader $15 billion National Reconstruction Fund.
Prime Minister Anthony Albanese said the move was intended to support the economy amid ongoing global uncertainty.
“[We] are unlocking billions in capital to keep our economy moving forward,” Albanese said.
“Unprecedented events overseas continue to disrupt businesses here at home – the Economic Resilience Program is about investing in more production for fuel, fertiliser and logistics.”
The Economic Resilience Program will provide zero-interest loans to businesses in critical supply chains, including fuel and fertiliser, with the aim of supporting domestic industries impacted by global disruptions and maintaining essential transport and production activities.
The Net Zero Fund, originally scheduled to open later in the year, will now be brought forward to support manufacturing investment and energy efficiency improvements in emissions-intensive sectors.
The program also targets the expansion of domestic manufacturing in clean energy supply chains, including wind, solar, energy storage technologies and low-carbon liquid fuels.
Meanwhile, the Forestry Growth Fund will focus on supporting timber processing for housing construction and investment in related facilities, with the goal of increasing value-added production.
Minister for Industry and Innovation Tim Ayres said the funding would help businesses respond to external pressures while strengthening domestic capability.
“Investing in Australian industry is about making Australia stronger,” Ayres said.
“Businesses right across the country in dozens of industries are under severe pressure because of unprecedented events overseas.”
“By bringing forward $6.15 billion in capital, the National Reconstruction Fund can more quickly support businesses to increase production, capability and capacity.”
The government said the measures are intended to help businesses navigate ongoing global supply chain disruptions while supporting the development of domestic industries and ensuring access to critical goods.
