This audit would examine the Treasury’s effectiveness in the design and administration of the National Housing Finance and Investment Corporation (NHFIC).

The NHFIC was established in June 2018 to improve housing outcomes, and is a key part of the Australian Government’s plan to help reduce pressure on housing affordability. It offers loans, investments and grants to encourage investment in housing, with a particular focus on affordable housing. The total value of the measures to improve housing outcomes is expected to be in the order of $2 billion, in the form of operational funding of $63.1 million over four years from 2017–18; grants and equity loan funding of $1 billion over five years from 2018–19; and a line of credit to the Affordable Housing Bond Aggregator via a special account of $1 billion. In 2018–19, $150 million was appropriated to the Treasury to establish this line of credit.