NSW Liberal treasury spokesman, Mike Baird, has proposed that "investors who manage their superannuation should be able to buy government bonds which would build roads, hospitals and other critical infrastructure"

The idea is that the government could direct investment of part of the $560 million that is poured into fund each week. Get that - each week!

Mike Baird said:

Treasury should be looking at creating products that are low risk, inflation-matched and deliver long-term yields to make NSW infrastructure an attractive place to invest for self-managed super funds.

Investors would then be guaranteed a fixed return at a low-risk, with the knowledge that their money was going to vital infrastructure projects.

Treasurer Eric Roozendaal says that people could already do that:

The state's central borrowing authority, TCorp, is best placed to efficiently raise funds for the state's infrastructure programs.

But is it the same as what Baird proposes?

Ian Macoun, from Pinnacle Investment Management,says:

This creates a win-win for the public and the super fund investors.

I reckon it is a great idea. Even if people do not put all their super into the funds, it would still give the government a decent source of funds.