Pipeline runneth dry in 2013
The investment pipeline of mega-resources projects is set to begin to decline after a report released by Deloitte shows that such projects are ‘hurtling towards a peak, likely in 2013’.
Deloitte suggests that while the investment pipeline will continue to see a strong cash flow into the economy, multi-billion mega projects are likely to come to a halt in 2013.
The main growth driver of the Australian economy over the previous years, Deloitte claims that mega projects, and resources related construction as a whole, will no longer remain the titan of the economy.
The report then goes on to pose the questioned of how the economy will handle the much needed diversification after the resources investment boom peaks later this year.
2013 will see the due date of final investment decisions close, with Deloitte calculating the final round could pump as much as $126 billion into the economy.
The report concludes that economic infrastructure, from roads to the NBN, will provide a healthy investment agenda for the coming years.