Regional Investment Corporation Act 2018

What This Law Does

This Act creates the Regional Investment Corporation (RIC) — a Commonwealth government body set up to help Australian farmers and fund water infrastructure across the country.

Who It Affects

• Farmers and farm businesses seeking concessional loans (government-backed loans, typically at lower-than-market interest rates) to help them survive tough times like drought
• State and Territory governments seeking Commonwealth funding for water infrastructure projects (like dams, pipelines, and irrigation systems)
• The Murray-Darling Basin — special consultation rules apply before the Commonwealth funds water projects in this ecologically sensitive river system
• Taxpayers — the RIC manages public money and is exempt from income tax and most State/Territory taxes

What the RIC Actually Does

1. Farm loans: The RIC lends money directly to farm businesses — not just any farm, but those engaged in interstate or international trade, or operating in Territories. It sets interest rates, takes security over assets (like a mortgage), and can enforce repayment through the courts.

2. Water infrastructure grants: The RIC administers Commonwealth financial assistance (grants) to States and Territories for water projects. For Murray-Darling Basin projects, the Murray-Darling Basin Authority must be consulted first, and all agreements must be tabled in Parliament.