Morrison Government’s $800 Million Digital Business Plan to Boost Jobs and Growth

Morrison Government’s $800 Million Digital Business Plan to Boost Jobs and Economic Recovery

The Morrison Government is investing $800 million in a Digital Business Plan designed to accelerate the adoption of digital technologies, create jobs, and drive Australia’s economic recovery. This significant investment comes as businesses across the country pivot to digital solutions to navigate the challenges posed by the COVID-19 pandemic.

Driving Australia’s Digital Transformation

The COVID-19 pandemic has served as a catalyst for many businesses to embrace digital technologies. Australian Prime Minister Scott Morrison highlighted how quickly businesses adapted:

“Many businesses moved online quickly when the pandemic hit, undergoing a decade of change in months, finding new customers or new ways of doing things.”

The Digital Business Plan is a cornerstone of the government’s economic recovery strategy, aimed at supporting businesses, removing outdated regulations, and fostering technological innovation.

Economic Impact of the Digital Push

The government estimates that its Digital Infrastructure package will increase Australia’s GDP by $6.4 billion annually by 2024. This economic growth will extend to regional Australia, contributing approximately $1.5 billion annually.

Key Highlights of the Digital Business Plan

The Digital Business Plan includes several initiatives to improve business operations, encourage innovation, and drive digital adoption.

1. Digital Identity System

• Investment: $256.6 million
• This system will allow Australians and businesses to securely access over 70 government services. Over 1.6 million Australians and 1.16 million businesses are already using digital identity solutions.

2. Modernising Business Registers (MBR) Program

• Investment: $419.9 million
• Streamlines the management of business registry data, enabling businesses to update and maintain their information in one location.

3. Consumer Data Right (CDR) Rollout

• Investment: $28.5 million (additional to $120 million already committed)
• Supports the rollout of the Consumer Data Right in the banking and energy sectors, enabling consumers to better manage their data.

4. Accelerating 5G Rollout

• Investment: $29.2 million
• Supports 5G commercial trials and testbeds in industries like agriculture, mining, logistics, and manufacturing to enhance productivity and efficiency.

5. Supporting Small Businesses with Digital Tools

• Investment: $22.2 million
• Expands the Australian Small Business Advisory Service – Digital Solutions program and provides a Digital Readiness Assessment tool and Digital Directors training package.

6. Blockchain Pilots for Cost Reduction

• Investment: $6.9 million
• Funds two blockchain pilots aimed at reducing business compliance costs and improving operational efficiency.

7. Regulatory Technology and Innovation

• Regulatory Tech Initiative: $11.4 million to enhance compliance through digital solutions.
• Fintech Support: $9.6 million to promote financial services exports and attract global investment.
• Electronic Invoicing: $3.6 million to mandate e-invoicing for Commonwealth agencies by July 2022 to drive digital adoption.

8. Supporting Digital Skills Development

• Investment: $2.5 million
• Connects workers and small-to-medium enterprises to digital skills training.

9. Virtual Meetings and E-Documentation

• A consultation process will explore making permanent the temporary reforms that allow companies to hold virtual meetings and execute documents electronically.

Complementing Broader Investments

The Digital Business Plan aligns with the government’s broader economic initiatives, including:

1. $4.5 Billion NBN Investment Plan: Ensuring ultra-fast broadband access to millions of families and businesses.
2. 2020 Cyber Security Strategy: A $1.67 billion investment to improve trust and security in the digital economy.
3. Online Safety Initiatives: Strengthening safety frameworks to protect consumers in the digital space.

Why This Matters for Businesses

The Morrison Government’s Digital Business Plan aims to:

• Drive Innovation: Foster adoption of cutting-edge technologies like blockchain, 5G, and regulatory tech.
• Reduce Red Tape: Modernize regulations to support faster business processes and compliance.
• Enhance Digital Readiness: Equip small businesses with tools, training, and support to thrive in a digital economy.
• Boost Economic Growth: Deliver a $6.4 billion annual GDP boost while creating jobs and supporting regional communities.

Treasurer Josh Frydenberg emphasized the importance of digital transformation:

“The Government’s Digital Business Plan is targeted at building on this digital transformation of Australian businesses to drive productivity and income growth and create jobs.”

A Vision for Australia’s Digital Future

The Morrison Government’s investment is part of a long-term vision for Australia to emerge as a leading digital economy by 2030. By leveraging technology, the plan aims to empower businesses, streamline operations, and create opportunities for innovation and growth.

From small businesses to major industries, the Digital Business Plan provides the tools, infrastructure, and support needed to foster a dynamic, digitally-driven economy.

Conclusion

The Morrison Government’s $800 million Digital Business Plan marks a pivotal step in Australia’s economic recovery. By embracing digital technologies, removing regulatory barriers, and supporting businesses, the plan paves the way for job creation, productivity growth, and a resilient digital future.

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