In a statement, immigration and citizenship minister Brendan O’Connor announced that the government has issued an SIV to a Chinese toy manufacturer and his family.
The announcement signals the first successful grant in response to more than 170 applications lodged with the department since the introduction of the SIV scheme in November 2012.
In announcing the move, O’Connor reiterated the broad benefits the government anticipates from the scheme, including a “potential of $850 million in investment”.
“Australia is in active competition with other countries across our region for successful, high wealth individuals and the capital and business acumen that comes with them,” the minister said.
“Significant investors bring with them their skills in business, their links to international markets and additional capital for investment in other projects in Australia that interest them,” he added.
O’Connor singled out the managed fund and Commonwealth, state and territory bond markets and potential “direct investment into proprietary Australian companies” as among the intended benefits of the scheme, as well as prospective job growth for Australians.
Financial services lawyer Bill Fuggle, a partner at Baker & McKenzie in Sydney, agreed that the granting of the first SIV was significant for investors and investment professionals.
“The investment community has been eagerly awaiting the first approval since the visa class became operational last November,” he told InvestorDaily.
“We know that there are several hundred applications at various stages in the system.
“Investments in relation to the visa class are not required to be made until the end of the application process, so the fact that one visa has been approved suggests that the $500 million per month which seems to have been [flowing] into the system should now start materialising into actual investments.”
