It is a myth to suggest that Australia needs large-scale 'foreign investment'. 80 per cent of total investment capital in Australia's economy is local, but too much of it is being 'misallocated' into relatively unproductive assets like housing: CLICK HERE

Our HOUSING and JOBS & ECONOMY policies address this issue of capital misallocation.

Australia should ensure that all foreign investment is in the long term national interest.

Policy Methods (Federal)
To help achieve this Australia should:

  • Clearly differentiate between foreign investment and foreign ownership.
  • Restrict the purchase of all Australian natural resources, including land, water, minerals and energy resources to Australian citizens and minimum 75 per cent Australian-owned entities.(1)
  • Restrict the purchase of Australian residential property and land for residential development (housing) to Australian citizens, longer term (5 year) permanent residents, and minimum 75 per cent Australian-owned entities (see HOUSING AFFORDABILITY policy).
  • Determine a clearer definition of the national interest, with public consultation, and maintain a strict and long term interpretation of the national interest when assessing foreign investment proposals. To determine a clearer definition of the long term national interest, Australia should hold a national enquiry into the long term costs and benefits of foreign investment, foreign ownership and ‘free trade’ agreements, including impacts on local production, employment, taxation revenue, inflation, balance of trade, foreign debt, profit flows and sovereignty.

Related policies

  • Also see HOUSING and ECONOMY & JOBS (with particular reference to re-allocation of Australian investment capital) policies.


  1. Ownership of land is not necessary for a foreign entity to conduct business in Australia. Land can be rented or leased. Permitting foreign ownership of land causes land values to be inflated, increasing costs of production and costs of living for Australians. Agricultural, industrial and urban development can be financed by foreign (though preferably local) debt-raising, rather than majority equity sale.

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