The National Reconstruction Fund Corporation Act 2023 (NRFC Act) officially commenced on 18 September, establishing the Federal Government’s National Reconstruction Fund Corporation.
The National Reconstruction Fund Corporation, a corporate Commonwealth entity which will invest in projects in priority areas of the Australian economy, is up and running, with its independent Board meeting for the first time.
The NRF Board will make independent decisions to provide loans, guarantees or equity to Australian-based investments in seven priority areas of the Australian economy, namely:
- renewables and low emissions technologies
- medical science
- transport
- value-add in the agriculture, forestry and fisheries sectors
- value-add in resources
- defence capability
- enabling capabilities.
The NRF will enhance Australia’s resilience by strengthening local manufacturing capabilities, improve Australia’s ability to capture value adding opportunities, create secure jobs and support the commercialisation of Australian innovation and technology.
Industry and Science Minister Ed Husic said the government’s ambition is for the NRF Board to deliver great things for Australian industry and manufacturing.
“Each of the eight independent Board members bring the skills needed to strengthen Australian manufacturing and our industrial capabilities.
“The government has brought together a strong mix of skills and experiences from all parts of the nation to help ensure the NRF delivers for Australians.”
The government has identified $8 billion of the NRF’s $15 billion for the following areas:
- up to $3 billion for renewables and low emissions technologies
- $1.5 billion for medical manufacturing
- $1 billion for value-adding in resources
- $1 billion for critical technologies
- $1 billion for advanced manufacturing
- $500 million for value-adding in:
- agriculture
- forestry
- fisheries
- food
- fibre.