EXPLANATORY STATEMENT

Migration Regulations 1994

1. This Notice is made under regulations 1.17 and 5.19A of the Migration Regulations 1994 (‘the Regulations’).

2.                  Regulation 1.17 of the Regulations provides that the Minister may, by notice published in the Gazette, specify matters required by individual provisions of the Regulations to be specified for the purpose of those provisions.

3.                  Regulation 5.19A specifies that each security issued by a State or Territory government authority referred to in Schedule 2 to this instrument as a security in which an investment is a designated investment for the purposes of Parts 131, 162, 165, 405, 844, 891 and 893 of Schedule 2 to the Regulations.

4.                  The purpose of the Instrument is to allow specified State and Territory government authorities to issue securities accepted as designated investments to applicants for Investor Retirement visas.

5.                  The Instrument operates to expand the list of visa subclasses in Schedule 2 to the Regulations for which State and Territory authorities can issue securities in which investments are designated investments.  The Instrument operates to expand this list to include subclass 405 Investor Retirement visas.

6.                   Consultation was undertaken before the Instrument was made as follows:

• All State and Territory Governments.

7.                  The Instrument commences on 1 July 2005.