The 2032 Olympic and Paralympic Games may account for only a small proportion of Queensland’s capital program, but they are commanding an outsized share of attention from global investors.
Queensland Treasury Corporation’s Dennis Molloy told Queensland Futures Institute (QFI) members and invited guests at the Economic Outlook forum in Brisbane that the Games represented only around 4–5% of the state’s capital program.
However, he said the Olympics featured far more prominently in QTC’s discussions with investors.
“Even though the Olympics has only 4-to-5% of our capital program, [I can] safely say you don’t spend 4-to-5% of your time talking about it,” Mr Molloy said.
The interest comes as Queensland embarks on a substantial infrastructure program in the years leading up to Brisbane 2032.
Mr Molloy said global investors looked closely at Queensland’s debt position, but the state remained relatively well placed compared with many jurisdictions internationally.
He said an important part of the investment story was that Queensland’s borrowing program was funding infrastructure, much of it economic infrastructure that could contribute to productivity and the state’s longer-term growth.
“If you’re in a position where you’re borrowing for operating [expenditure], obviously that’s not a good story, and that’s nowhere near where we are,” Mr Molloy said.
Investors were also interested in understanding the scale and nature of Queensland’s infrastructure requirements, with Mr Molloy pointing to the Bruce Highway as an example.
He said international investors were often surprised by the sheer scale of the highway and its importance to the Queensland economy, including that the distance from Brisbane to Cairns was greater than from Brisbane to Melbourne.
Queensland’s latest Budget provides for a $119.2 billion capital program over four years, including $29.6 billion in 2026–27. Major investment spans transport, health, education, energy and other infrastructure across the state.
QFI CEO Steve Greenwood said the level of investor interest in the Games highlighted the broader opportunity presented by Queensland’s infrastructure pipeline.
“The Olympics is clearly attracting global attention, but the bigger opportunity is how Queensland uses that attention and the investment occurring across the state to build longer-term economic capacity,” Mr Greenwood said.
“The challenge is ensuring we have the skills, infrastructure and productivity needed to deliver a very significant pipeline of projects while continuing to meet the needs of a growing state.”
The QFI forum, Queensland’s Economic Outlook: Growth, Investment and Reform, featured Mr Molloy alongside Productivity Commission Chair Danielle Wood and ANZ Chief Economist Richard Yetsenga.