It essentially says that equity investment (direct and portfolio) is less attracted to Australia than formerly since we are viewed as an “old economy” because we do not have a big enough exposure to the new growth areas, particularly the information and communications technology sector (ICT).
The contrast is drawn between the United States, which is seen as the “new economy”, and other countries, including Australia and Europe, which are seen as the “old economy”. Let me say at the outset, there are two questions at issue - first, do a substantial number of providers of capital think this way?