Victoria’s government has now surpassed all other jurisdictions regarding infrastructure spending. A vast $90.2 billion has been promised for the next four years. This equates to almost $1.9 billion every month until mid-2025. This implies Victoria will spend 24 percent of its total government sector expenditure on infrastructure, a record in the Budget Monitor’s history.
So, where is all this money going?
The majority of projects receiving the bulk funding announced in the 2021-22 Victorian Budget include Melbourne Metro Tunnel, West Gate Tunnel, Northeast Link, Melbourne Airport rail, and Suburban Rail Loop Level Crossing Removal Project.
The following are some of the significant funding allocations in Victoria:
- Education – $1.4 billion for skills infrastructure
- Health – $1.2 billion for health infrastructure
- Trains – $986 million for X’Trapolis Trains
- Trams – $368 million for Next Generation Trams
At Blue Wealth, infrastructure spending is one of our four main macro drivers when approving a state or a suburb. Infrastructure expenditure is essential because it drives economic growth by enabling trade and investment, creates jobs, and provides people with access to essential services.