Impact Investing Australia describes the federal budget’s housing promise as possibly “the biggest impact investing opportunity Australia has seen”.
Australia’s impact investment body says the federal government National Housing Agreementand the related commitment to build one million new homes over five years from 2024, could represent “the biggest impact investing opportunity Australia has ever seen”.
In a statement, Impact Investing Australia (IIA) said investors could bring in private capital to support the work and help solve one of Australia’s biggest social challenges.
IIA President Richard Brandweiner applauded budget funding for these important community and climate projects to help achieve positive social and environmental outcomes.
“At The IIA, we have witnessed how supporting affordable and social housing can change the lives of vulnerable Australians, while boosting job creation and enabling social enterprises to scale their impact,” did he declare.
The tech body also welcomed a $20 billion investment to establish the Rewiring the Nation initiative to provide concessional loans and equity to invest in transmission infrastructure projects that will help strengthen, expand and to transition Australia’s power grids.
“The IIA hopes Rewiring the Nation will provide opportunities for private investors to join with government in implementing this initiative,” it said in a statement.
Brandweiner added that the IIA was “encouraged” by the government’s request to the social impact investing task force to revisit the recommendations in its final report from the end of 2020.
The task force was tasked in 2019 with identifying ways to support solutions to entrenched disadvantage, achieve measurable impact, and facilitate private capital investment in the social impact investment market.
“The need for social impact investing is more urgent than ever given the impacts of the pandemic, inflation and economic dislocation and the disproportionate impact on vulnerable Australians,” Brandweiner said.
“Working alongside government, we can catalyze private and institutional capital investment and transform the market to improve the lives of all Australians and build our economy for the future.”