The Northern Australia Infrastructure Facility (NAIF) supports infrastructure projects that drive economic growth in northern Australia.
It encourages private-sector investment across a range of areas including agriculture and water, energy, resources and social infrastructure.
Types of finance
NAIF provides loans and other financial support to projects and businesses that:
• deliver public value
• drive sustainable economic growth
• attract private-sector participation in infrastructure financing
• promote Indigenous engagement through jobs and partnerships.
Background
NAIF was established on 1 July 2016 under the Northern Australia Infrastructure Facility Act 2016.
It operates as a corporate Commonwealth entity and specialist direct investment vehicle.
The Act sets out its purpose and functions.
Governance
The Minister for Northern Australia and the Minister for Finance are responsible under the NAIF Act.
They issue directions about the performance of the NAIF’s functions. The Minister for Northern Australia appoints members to the NAIF Board.
Read about the board on the NAIF website.
Investment mandate
The ministers set out how they expect funds to be invested through an investment mandate.
The current mandate, issued on 15 December 2023, states:
- the types of projects NAIF can support, including new infrastructure or upgrades
- how smaller projects can be funding directly through project supporters
- what qualifies as an economic benefit for public good
- types of concessions NAIF can offer in its loan products
- the use of alternate financing tools, including derivatives and equity investments
- the Australian Government’s expectations around risk.
Read more in the explanatory statement.
Statement of expectations
The Minister for Northern Australia provides guidance on how the facility should operate through a statement of expectations. NAIF responds with a statement of intent.
The addendum to NAIF’s SoE and SoI was released in July 2023 and outlines updated expectations for the NAIF in response to the Australian Government’s Critical Minerals Strategy (2023–2030).
They include:
- delivering on the strategy
- building sovereign capability in critical minerals processing
- creating diverse, resilient and sustainable supply chains through strong and secure international partnerships
- extracting more value onshore from resources to create jobs and economic opportunity, including for regional and First Nations communities
- working with the Critical Minerals Office and other Commonwealth entities to ensure alignment with the strategy
- earmarking $500 million of NAIF’s $7 billion appropriation for projects aligned with the strategy.
NAIF will develop reporting processes, in collaboration with relevant departments, to track investments.
Read the SoE and SoI on the NAIF website.
More information
Read more about NAIF and funding opportunities on the NAIF website.
For questions about policy matters, contact the Department of Infrastructure website.
