Australia provides opportunities for investment and business growth in a stable, well-regulated economy with strong long-term fundamentals. Key points: 1) Australia has experienced over two decades of continuous economic growth with a diverse $1.5 trillion economy and positive long-term outlook for continued expansion, creating opportunities for investors. 2) Major infrastructure investments and opportunities exist across several industries including resources, oil and gas, infrastructure, and information and communications technology, supported by a large skilled workforce. 3) Australia is a leading digital economy with high rates of technology adoption and investment in innovation, and the new National Broadband Network will further accelerate growth of the digital sector.

1. Australia
Gerald Thomson,
Ambassador of Australia
Australia-New Zealand Business Forum
Helsinki, 17 September 2013

2. Australia key facts
Economy US$1.5 Trillion GDP
o 4th largest in Asia Pacific region
o 80% services economy
Population 22.9 million
Culture Multicultural, multiracial,
multilingual
Aboriginal heritage
Geography World’s 6th largest country
o 7,682,300 sq km
o coastline 36,735 km long
Climate Temperate – but varied
Political
Environment
Democratic / Westminster system
Federation formed in 1901
Three tiers of government
o Commonwealth
o 6 States and 2 Territories
o Local government
Australia – means opportunities

3. • Australia’s economy has experienced 22 years of
continuous growth.
• USD 1.5 trillion economy; 12th largest in the world.
• Relatively low unemployment.
• Low interest rates and inflation.
• Public finances in good shape.
• AAA sovereign credit rating by S&P, Moody’s and Fitch.
• High rates of savings and investment.
Australia: strong growth, sound fundamentals
Australia – means opportunities

4. Diverse economy
Australia – means opportunities

5. Resilient economy; positive outlook
.
IMF predicts 3.1% annual-average-real GDP growth for Australia from 2013 to
2018; the highest anticipated growth among the major advanced economies
Australia – means opportunities

6. Strategic location

7. Australia – means opportunities
Connected to Asia

8. • Conservative government elected 7 September
2013.
• Led by Prime-Minister-elect, Tony Abbott MP.
• Key priorities:
– Budget surpluses and reduced government debt
– Improved productivity and competitiveness
– Lower taxes
– Regulatory reform; reduced red-tape
– Reprioritisation of expenditure to fast-track key infrastructure
projects
– National broadband network
– Direct action on climate change.
New government
Australia – means opportunities

9. Australia
means opportunities
David Campbell
Senior Trade & Investment
Commissioner, Western Europe

10. Growth
With 22 years of uninterrupted growth, Australia’s
diverse economy is set for continued expansion,
creating opportunities for investors in a low-risk
environment with strong connections to Asia’s
economic dynamism.

11. Business
Australia makes it easy to do business in one of
the world’s most transparent and well-regulated
business environments.

12. Innovation
Australia’s proven track record and commitment
to world-class innovation makes it the ideal
location to develop new ideas and bring
them to life.

13. Long track record in world class innovation
Australia – means opportunities
Source: http://www.smartestinvestment.com.au/campaign/key-facts/

14. Australia – means opportunities
Australians are early adopters
14

15. Highly quality scientific research
1
5

16. Growing investment in research & development
Australia – means opportunities

17. • Boeing 22 year partnership with the CSIRO
• Bayer collaboration with the CSIRO to develop a
new generation of crops
• Canon 20 years of R&D in Australia with the CSIRO,
USydney and UNSW
• IBM collaborating with the UMelbourne developing
sequencing technology using supercomputers
• GE an R&D alliance with the CSIRO to address
global challenges - aging population, water
conservation and clean technologies
Major foreign companies are engaged
Australia – means opportunities

18. Opportunities

19. Australian Major Resource Projects
Australia – means opportunities

20. Australian Mining Investment
Australia – means opportunities

21. Australia – means opportunities

23. Oil and Gas in Australia
• Unconventional Gas
– Large, untapped reserves of shale and CSG
– Estimated shale gas resources sufficient to
meet domestic gas usage for 400 years
– Proven plus probable reserves of CSG
estimated at more than 130 years of
production life
• Oil and Conventional Gas
– $28 billion (annually) industry contributes 58
per cent of domestic energy
– 7 “mega” LNG projects committed and over
29,000km of pipeline
– LNG, gas and petroleum account for over 70
% value of committed projects
– world’s third largest exporter of LNG
– LNG exports projected to increase threefold
by 2016–17
Australia – means opportunities

24. Australian Natural Gas Resources
Australia – means opportunities

25. Australian LNG Expansion
Australia – means opportunities
0
10
20
30
40
50
60
70
Australia Algeria USA PNG Angola Indonesia
Mt
Source: BREE

26. Australian LNG Exports
Australia – means opportunities
0
12
24
36
48
60
0
20
40
60
80
100
2002-03 2005-06 2008-09 2011-12 2014-15 2017-18
2012-13
$b
Mt
exports value (real)
QCLNG
Gorgon
Gladstone
APLNG
Wheatstone
Prelude
Ichthys

27. Opportunities & Gaps
Australia – means opportunities
• Subsea & Marine
• Geotechnical/geophysical
surveying
• Engineering
• Processing
• O&M vessels
• Unconventional Gas
• Exploration
• Pipeline development
• Onshore drilling rigs
• Engineering, Design &
Fabrication
• Operations & Maintenance
• Logistics & Transport
• Monitoring, Testing & Lab
Services
• Emergency Response &
Safety
• R&D
Image Courtesy of Woodside

28. Infrastructure in Australia
• Public Infrastructure
– A National Infrastructure Construction Schedule
www.nics.gov.au
– Roads, rail, ports, airports and social infrastructure
– Private financing for 25 years
• Strong Fundamentals
– Population growth
– High urbanisation rates -> congestion
– Freight transportation growth
– Aging population
• Freight projections to 2030
– Truck traffic to grow 50% to 8.5 billion kms
– Rail freight to grow 90% to 445 billion tonne kms
– Shipping containers to increase by 150% to 15.4
million
– Air freight to grow over 100% to 11.4 billion tonne
kms
Australia – means opportunities

29. Community & Industrial Energy Demand
Source: AECOM, BREE, Geoscience Australia
Off-Grid Western Australia
Off-Grid Northern Territory
Off-Grid Queensland
Off-Grid Australia
Industrial;
79%
Community,
21%
Industrial;
89%
Community
, 11%
Industrial;
41%
Community
; 59%
Industrial;
89%
Community;
11%
Australia – means opportunities

30. Australia is a
leading digital
economy in the
Asia-Pacific

31. A leading digital economy
• Total ICT market expected revenue worth in excess of
A$131 billion1
• A$63 billion ICT industry expenditure2 (2013f)
• 2nd in the Global Cloud Computing Scorecard
• ICT and Digital Developments
– The 802.11 technology behind Wi-Fi
– Open Kernel Labs Software deployed in over a billion
mobile phones
– The Ultrasound Scanner
– Google Maps
• Opportunities in the digital sector within:
– Cloud computing and digital infrastructure
– Automation, simulation and visualisation
– Advanced ICT R&D
Growing Australia’s Digital Economy
– National Broadband Network
– R&D tax incentive & strong intellectual property
protection
• National Digital Economy Strategy
(1) IBSA Environmental Scan 2013, footnote 7; (2) Witsa Digital Plannet 2010
Australia – means opportunities

32. Australia is a leading ICT and digital economy in the Asia-Pacific and globally. Latest
rankings have Australia as:
1st
1st
2nd
3rd
Australia is consistently ranked as a leading
digital economy in the Asia-Pacific
most e-ready economy in the Asia-Pacific (sixth globally)1
in ICT infrastructure in the Asia-Pacific (eighth globally)1
in the Global Cloud Computing Scorecard (behind only Japan)2 which
measures readiness of countries to support the growth of cloud computing
in the Asia-Pacific digital economy rankings (ninth globally)3
1. Economist Intelligence Unit, E-readiness (latest release, 2009)
2. Business Software Alliance (latest release, 2012)
3. Economist Intelligence Unit, Digital economy rankings (latest release, 2010)
Australia – means opportunities

33. Australia has developed a sophisticated user
base for digital technology
Australia embraces digital technology and
has a reputation as an ‘early adopter’:
• Australian businesses are world leaders in
integrating enterprise and consumer
technology, enabling business functionality
on employee devices1
• Australia invests more in digital marketing
than any other country in the Asia-Pacific2
• Australians buy online more frequently
than any other online shoppers (25 per cent
of Australian online consumers buy weekly)3
• Australians are the world's second most avid
internet searchers for information about
consumer products3
1. Dell Research (January, 2013).
2. Chief Marketing Officer (CMO) Council and Adobe Systems Dashboard
Report 2012 (November, 2012)
3. Swinburne University of Technology
4. ACMA, Australia’s Progress in the Digital Economy, June, 2012.
“Australia has been an early adopter… when
Yammer’s sales team came out here from the US,
they were struck by the maturity of questions
from clients”
- Simon Spencer, Managing Director, Yammer Asia-Pacific
(2011)
Financial
services, 27%
Manufacturing,
industrial and
retail, 25%
Government,
18%
Other corporate,
16%
Energy and
resources, 9%
Households, 5%
Major market segmentation of Australian cloud computing 4
Australia – means opportunities

34. Australia has experienced significant
growth and the ICT sector continues to
gain in sophistication
• The total ICT market value in Australia is
worth in excess of $131 billion (by
revenue).1
• In the five years to 2010, the ICT sector’s
annual growth rate averaged 8.5 per cent,
outstripping the USA, UK, Japan, South
Korea and Taiwan. 2
Australia’s ICT spending has grown
significantly and is poised for growth
1. IBM and IBISWorld, A Snapshot of Australia’s Digital Future to 2050
2. Gartner, November 2012.
“Already in 2012, ICT, enhanced by emerging high-speed broadband and online information, is expected to
deliver [annual] revenue of $131 billion in Australia… by 2050, this new utility will generate around $1
trillion in [annual] revenue. Today… the value of the internet to the Australian economy rivals iron-ore
exports.”
- IBM and IBISWorld, A Snapshot of Australia’s Digital Future to 2050
Australia is expected to see significant growth in the
digital economy:
• Real IT spending is forecast to increase by 3.2 per
cent in 2013 to reach $75.5 billion (IT expenditure
by Australian Companies).2
• Spending on public cloud services in Australia is
forecast to reach $2.9 billion in 2013, a 22.3 per
cent increase from 2012.2
• A diverse range of major Australian industries and
consumers buy cloud services (see chart), with
cloud spending expected to have a compound
annual growth rate of 17.3 per cent from 2011 to
2016.2
Australia – means opportunities

35. The National Broadband Network (NBN) will
deliver the world’s largest high speed
broadband network
“I consider this [the NBN] to be a stunning investment in infrastructure that in my view will have very
long term benefits. Infrastructure is all about enabling things and I see Australia trying to enable
innovation. I’m excited by this … we already know that networking has produced serious value in terms
of businesses and personal income. It just creates opportunity.”
- Vint Cerf, Vice President and Chief Internet Evangelist, Google Inc.
• The Australian Government is investing up to $43 billion over eight years to build and
operate a new, high-speed National Broadband Network
• NBNCo was established in 2009 to build and operate the network, which will serve
100% of Australian businesses and homes, covering the whole country, though:
– fibre (serving 93% of premises)
– fixed wireless (serving 4% of premises), and
– satellite (serving 3% of premises).
• The network will be capable of delivering speeds up to 1 Gbps.
• The NBN will significantly expand e-commerce and Australia’s digital economy, and
further grow the ICT sector in operations, testing, support and R&D of the network and
of broadband applications.
Australia – means opportunities

36. Australia
provides
tailored support
to investors

37. Austrade, in cooperation with state and
territory governments, provides free and
confidential assistance to investors
› National coordination of Australian government
investment services
› Information on the Australian business and regulatory
environment
› Market intelligence and investment opportunities
› Identification of suitable investment locations and
partners in Australia
› Advice on Australian government programs
and approval processes

38. Want to learn more?
www.austrade.gov.au/invest