Save, consume or invest?
You and I have a choice with every dollar we earn – we can save, we can consume or we can invest.
When we save or consume we are making a decision about the future and our confidence (or otherwise) in it.
Economies are no different – and the best vote of confidence in the direction of an economy is investment. Investment doesn’t just create jobs – it builds capacity as well.
In a time of international disruption, decisions to invest are more crucial than ever.
We are big believers in the need to get investment moving in our country.
Last week’s City Deal in Townsville was a decision by three levels of government to invest in the development of that city – it was welcome news and a good start.
We also believe in the importance of foreign investment – because it is capital that generates the new housing stock, office blocks, shopping centres and infrastructure that Australia needs.
Unlike other industries, in property you can’t take what you produce out of Australia – property is tied to terra firma! So foreign investment is a literal investment in Australia and its economic and social capability.
Every dollar invested is a vote of confidence in Australia – and as this issue of Property Australia reminds us, Australia is a reliable destination for foreign investment.
When there is any form of economic uncertainty it is natural to look for someone to blame. The danger is that in blaming the wrong cause we make our predicament worse.
Foreign investment is a vital part of our industry. Property generates 1/9th of Australia’s GDP and employs 1.1 million Australians. To discourage foreign investment in Australia is to discourage the jobs it will create.
In a time when economic growth is hard to find, governments of all persuasions would do well to actively encourage foreign investment in Australia.