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Australian Parliament House Credit: Canva

$1 billion defence investment to rebuild the economy

The Morrison Government has announced they will invest $1 billion into the Australian defence industry to help create jobs in SMEs and stimulate the economy.

In his announcement, Prime Minister Scott Morrison said the package is estimated to support around 4,000 jobs across Australia and help many small and medium sized businesses in the defence-industry supply chain.

“Like much of the economy, our local defence industry is doing it tough because of COVID-19. This is especially so for small and medium sized businesses, that are critical to jobs,” said the Prime Minister.

The billion dollars has been invested as a part of the Government’s JobMaker plan, the aim of which is to boost employment on the way out of the economic crisis the COVID-19 pandemic has caused. The Prime Minister has said the investment will help “build our sovereign industrial capabilities and Australian workforce to keep our people safe.”

Related: “Where the SME sector is headed in a post-COVID world”

Around $300 million will be spent on a national estate works program focussed on regional areas (including bushfire affected regions), such as Jervis Bay & Eden, RAAF Bases East Sale, Pearce, Wagga and Amberley, the Albury Wodonga Military Area and Blamey Barracks.

$190 million will be invested in approved infrastructure projects in the Northern Territory.

Money will will also be put into increasing the employment of ADF Reservists who have lost their civilian income, with an allocation of up to an extra 210,000 days. There will also be increased employment opportunities for current and former ADF personnel and their families.

Minister for Defence Industry Melissa Price said it’s now more important than ever to back Australian businesses and create more Australian jobs.

“We want to ensure defence industry continues to provide vital supply chains to develop and maintain defence capabilities, as we look at opportunities to accelerate projects across Australia,” Minister Price said.

“These projects will support and grow the 70,000-strong workforce in defence industry supply chains and those benefiting from our investment in defence.

“We are committed to supporting small and medium sized enterprises across Australian defence industry, with programs that will support regional areas, including bushfire affected communities.”

Read more about the investment: https://www.pm.gov.au/media/1b-accelerate-defence-initiatives-covid-19-recovery

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Ellie Dudley

Ellie Dudley

Ellie Dudley is a journalist at Dynamic Business with a background in the startup space and current affairs reporting. She has a specific interest in foreign investment and the Australian economy.

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