All aboard the $138b train!

A whopping $138 billion of infrastructure spending is planned across New Zealand over the next 10 years, according to the latest Infometrics Infrastructure Pipeline Profile . Updated in early November, the Profile shows planned infrastructure spending is expected to be roughly $9b higher than our previous estimate from September 2018.

Rising council debt across New Zealand

With local elections in full swing, there’s a greater focus on the direction that our councils are moving towards and how much is it going to cost. Wrapped up in these discussions is the the fact that right across New Zealand we need to address our infrastructure deficit after decades of neglect. Planning to address this deficit will not be easy, or cheap, but is critical to aiding growth and fixing our housing issues.

New Zealand to invest $129b in infrastructure over next decade

The latest Infometrics Infrastructure Pipeline Profile shows that average infrastructure investment across the country is expected to be 28% higher over the next 10 years compared to the 2010-2018 period. A total of $129 billion in capital projects are estimated to be built over the 2019-2029 period.

Wanting to spend, but needing to plan

One key infrastructure issue that has arisen since we prepared our last set of forecasts in September and October is the change in focus for transport spending under the new government. Although both National and Labour emphasised the need for investment in infrastructure, National’s attention was very clearly on roads, while the Labour-led coalition is more focused on rail and public transport.