Treasurer Chalmers Discusses Changes to Australia's Foreign Investment System
Treasurer Jim Chalmers spoke to Patricia Karvelas on Radio National this morning, outlining his plans to strengthen and streamline Australia's foreign investment system. He emphasized the importance of attracting the right kind of investment while minimizing risks, particularly in critical sectors like infrastructure, minerals, and data.
Chalmers explained that the current system treats most investments equally, regardless of their risk profile. This, he argued, slows down the process and hinders proper scrutiny of potentially sensitive investments. His proposed changes aim to streamline approvals for low-risk investments while dedicating more resources to thoroughly vetting investments in critical areas.
Responding to concerns about targeting Chinese investment, Chalmers asserted that the new system will be non-discriminatory. He stressed that stringent tests will be applied to all investments, regardless of origin, focusing on the investor, the structure of the investment, and the industry involved.
When asked about specific sectors, Chalmers mentioned similarities to Canada's approach, which includes scrutiny of investments in artificial intelligence, critical minerals, space technology, and the video game industry. He emphasized his focus on critical industries and ensuring robust screening to safeguard national interests.
While acknowledging the potential for pushback from some countries, Chalmers expressed confidence in the non-discriminatory nature of the reforms. He reiterated the goal of strengthening the system where necessary and streamlining it where possible, applicable to investments from all over the world.