Jobs will be created in regional Tasmania under a bold initiative to help local government fund infrastructure projects.

The Minister for Economic Development, Michael Aird, said the new Local Government Infrastructure Assistance Program would help local government increase its investment in key infrastructure initiatives and create immediate local employment opportunities in Tasmania’s rural and regional areas.

“The Government is showing strong leadership in implementing sustainable economic development strategies that will immediately stimulate local employment and underpin the Tasmanian economy into the future,” Mr Aird said.

“The Program, which will provide up to $20 million in loan borrowings, was developed as a result of a range of initiatives put forward by West Coast Economic Development Group formed in January in response to the global financial crisis.

“I am pleased to announce that the West Coast is the first region to benefit from this program, which includes several local infrastructure projects representing an investment of more than $1.7 million into the local economy.

“These targeted projects are expected to create up to 30 new jobs on the West Coast over the next 12 months and will provide much needed infrastructure upgrades for the local community.

“The Tasmanian Government is committed to providing practical assistance to all Tasmanians and maintaining confidence in the Tasmanian economy so that we are well positioned for the eventual upturn in the economy.”

Mr Aird said the first round of loan subsidies will be open for applications until 31 August 2009 and will be followed by a second round which will close on 30 November 2009.

The Local Government Infrastructure Assistance Program will be managed and administered jointly by the Department of Economic Development, Tourism and the Arts and the Department of Treasury and Finance.