AUD and infrastructure spending catalysts for business confidence

We judge there are two key catalysts that could bolster business confidence in the short to medium term: A lower Australian dollar, further lifting key export industries such as mining, tourism and education. The Federal and State Governments driving infrastructure spending through selling existing assets and reinvesting in fresh productivity-enhancing projects. Alternatively Government could provide a mild financial incentive to see private capital undertake the infrastructure spending (for example tax effective infrastructure bonds)

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