Annual Report 2020-21

19 August 2021

The Honourable Cameron Dick

Treasurer and Minister for Investment

GPO Box 611

Brisbane QLD 4001

Dear Treasurer and Minister for Investment

I am pleased to present the Annual Report 2020–21 and financial statements for Queensland Treasury Corporation.

I certify that this Annual Report complies with:

• the prescribed requirements of the Financial Accountability Act 2009 and the Financial and Performance Management Standard 2019, and
• the detailed requirements set out in the Annual Report requirements for Queensland Government agencies.

A checklist outlining the annual reporting requirements can be found at page 64 of this Annual Report.

Sincerely

Gerard Bradley

Chairman

Queensland Treasury Corporation (QTC) has a statutory responsibility to advance the financial position and development of the State. Established under the Queensland Treasury Corporation Act 1988, QTC is a corporation sole, reporting through the Under Treasurer to the Treasurer and the Queensland Parliament.

Vision

Protecting and advancing Queensland’s financial interests

Mission

To deliver optimal financial outcomes through sound funding and financial risk management

2021-25 Strategic Goals

1. Sustainable funding
2. State and client value
3. Organisational excellence

Values

Client focus

We build strong partnerships with our clients to deliver simple and well-designed solutions that achieve quality outcomes for Queensland.

Team spirit

We work as one team, taking joint responsibility for achieving our vision and collaborating to achieve outstanding performance.

Excellence

We aim for excellence using flexible and agile processes to continuously improve.

Respect

We show respect by recognising contributions, welcoming ideas, acting with honesty, being inclusive and embracing diversity.

Integrity

We inspire trust and confidence in our colleagues, clients, stakeholders and investors by upholding strong professional and ethical standards.

QTC is the central financing authority for the Queensland Government and provides financial resources and services for the State. We manage the State’s funding program in the global capital markets to deliver sustainable and cost-effective borrowings for the Queensland Government, local governments, and other related entities (our clients).

With a statutory role to advance the financial interests and development of the State, we work in partnership with Queensland Treasury and our clients to solve complex commercial, policy and economic issues. We help to deliver innovative, long-term solutions that contribute to the growth of Queensland’s economy.

We protect Queensland’s financial interests and deliver better financial outcomes by centralising the management of our clients’ borrowings, cash investments, and foreign exchange. We play an integral role in managing the State’s finances, working closely with our clients on their balance sheet management and helping to identify opportunities to minimise costs and risks.

At QTC, we are committed to protecting and advancing the financial interests of Queensland.

On behalf of the Queensland Treasury Corporation Capital Markets Board, I am pleased to present Queensland Treasury Corporation’s Annual Report for 2020–21. As the impact of COVID-19 continues to disrupt economies and communities across the globe, QTC has remained focused on providing sound funding and financial risk management for the State.

Notwithstanding at times challenging market conditions, QTC raised $21.1 billion during the year. QTC’s market reputation, conservative liquidity position and the State Government’s guarantee, backed by Queensland’s strong credit rating, underpinned this achievement.

Using its extensive knowledge of government and financial risk management expertise, QTC continued its partnership with Government to deliver the State’s COVID-19 response and recovery initiatives, reduce interest costs, and improve financial and service delivery outcomes across a range of essential community services.

QTC’s resilient and hard-working management and employees are to be commended for their strong contribution to Queensland this year, which ensured the continuous delivery of QTC’s core funding and advisory services, and returned another $50 million dividend to Queensland Treasury.

During the year, the Board completed an independent review of QTC’s remuneration framework with assistance from external remuneration experts to ensure alignment with industry benchmarks and QTC’s strategic priorities. This resulted in lower variable remuneration as a proportion of total fixed and variable compensation on a broadly revenue neutral basis, and came into effect on 1 July 2021. As part of the transition to the new framework, and in recognition of the ongoing impact of the pandemic, the Board again applied moderation, although at a reduced level, to variable remuneration for key management personnel.

Membership of the Board changed during the year, with Queensland’s Deputy Under Treasurer, Leon Allen, joining as Queensland Treasury’s representative on 16 July, and Rosemary Vilgan’s appointment on 1 October 2020. These appointments were in addition to Jim Stening’s and my own reappointments.

QTC’s achievements in the 2020–21 financial year, against the relentless global backdrop of COVID-19-related economic volatility and social restrictions, continued to demonstrate its long-standing ability to adapt and deliver the priorities of Government under challenging conditions.

With its dedicated leadership team and employees, I am confident that QTC will continue to provide the funding and financial risk management advice to support the implementation of Queensland’s Economic Recovery Plan.

G P BRADLEY

Chair

19 August 2021

In 2020–21, QTC’s critical role in protecting and advancing Queensland’s financial interests has supported the State’s recovery from the economic and fiscal impacts of COVID-19. QTC delivered $233 million of returns to our Queensland Government stakeholders, including $112 million interest rate reduction through debt management. In addition, the sound management of QTC’s operations this year resulted in an operating profit of $116 million.

In a market of increasing supply and competition, QTC’s established reputation as a leading semi-government issuer supported our ability to achieve a record of $21.1 billion issuance during the year. We also worked closely with Queensland Treasury and our clients to support the delivery of the government’s priorities and help identify opportunities for our clients to minimise their costs and risks.

QTC’s strong performance in 2020–21 was underpinned by its enterprise design, risk management, talent development and culture. QTC has continued to be recognised in the industry as a corporate leader in these areas and won a national ‘Employer of Choice’ award for its second consecutive year.

Funding the State

Strong investor demand for QTC’s term debt issuance underpinned the completion of Queensland’s $21 billion borrowing program. QTC continued to demonstrate its reputation as a high-quality issuer through the strategic execution of term debt issuance in a competitive market.

QTC maintained its exceptionally strong liquidity position in 2020–21, which was significantly increased during the financial markets’ disruption last year. The strength of QTC’s liquidity and financial position continued to support QTC in managing future risk and meeting all debt servicing obligations. The robust levels of QTC’s liquidity reserves were recognised by the credit rating agencies when assessing the State’s credit position during the year.

In 2020–21, QTC captured market opportunities for the State through the issuance of $8 billion in syndicated deals, $5.5 billion in nine tenders and $7.6 billion via reverse enquiry. This included the establishment of new bond lines, including a $1.5 billion 1.25% 2031 Green Bond, a $3 billion 1.50% 2032 Benchmark Bond, and a $2 billion 2027 Floating Rate Note at 3mBBSW+9bps.

Due to COVID-19, the 2020–21 State Budget was deferred in line with the Commonwealth and other State Governments. The Queensland Government and QTC continued to provide transparent and regular updates to the market on Queensland’s fiscal position and borrowing program throughout the year. QTC’s borrowing program remained within the estimated requirement, following the first update in July. The Queensland Government resumed its regular reporting cycle with the announcement of a full State Budget on 15 June 2021.

Following the Queensland State Budget release on 15 June 2021, QTC estimated that it will borrow $17.4 billion of term debt in 2021–22. This was a reduction of $5.2 billion for 2021–22 from the previous market update, and there was a further $2.3 billion for the indicative requirement for 2022–23. This was primarily due to lower client borrowings in 2020–21, resulting from general government revenue uplifts.

QTC continued to respond to growth in the green bond market by expanding its Green Bond eligible project and asset pool from approximately $6.7 billion to approximately $16.8 billion, through the inclusion of Seqwater’s Drought Resilient Network.

Operating results

In 2020–21, QTC recorded an operating profit after tax from its capital markets operations of $116 million (2019–20: $67 million) and paid a dividend to the State of $50 million (2019–20: $50 million). The operating profit was largely the result of capturing market opportunities to generate returns on QTC’s financial instruments, with supportive market conditions underpinned by the Reserve Bank of Australia’s quantitative easing program.

In addition, QTC’s management of the State’s debt provided a reduction of $112 million (2019–20: $104 million) in the market value of Queensland Treasury’s borrowings, equivalent to a 0.04% decrease in the interest rate for 2021–22.

QTC continued to look for opportunities to reduce operating costs and was able to reduce its operating costs by $4.6 million against budget for the year, while still delivering major system upgrades and corporate performance goals and objectives.

QTC’s Capital Guaranteed Cash Fund delivered $71 million (2019–20: $146 million) in investment returns to its government clients during the year and retained its position as one of the largest managed cash funds in Australia with $9.6 billion under management at 30 June. QTC focused on an asset management strategy that provided protection against falling outright yields and tightening spreads.

Over the past five years, the returns from debt management have lowered the State’s costs by a total of $541 million. In addition, QTC’s net earnings have contributed to the payment of $650 million in dividends to the State.

QTC’s retained earnings balance of $592 million, after paying these dividends, demonstrates the organisation’s continued strong financial position. Retained earnings are closely monitored to ensure QTC’s Board prescribed capital requirements are met.

Value delivered for the State

QTC supported the Queensland Government’s priority initiatives with advisory work focused on enhancing the institutional and financial strength of the State. In partnership with Queensland Treasury, QTC aligned the use of its resources to complete 54 advisory projects, with 28 still in progress. This work delivered cost-savings, economic benefits and fiscal enhancements.

Highlights during the year included projects to support the Government and private sector through COVID-19; significant outcomes to improve health services, building solutions to reduce costs and enhance social services; and implementing a regional program to improve financial, asset and risk management in local government.

QTC also helped enhance financial capability across the public sector through its education collaboration with the University of Queensland. This year, the program has reached 3,315 participants from across the State with 50 per cent from regional Queensland and remote areas, including Barcaldine and Doomadgee.

Credit and ESG ratings

In the year under review, Standard & Poor’s, Moody’s Investors Service and Fitch Ratings reaffirmed Queensland’s and QTC’s credit ratings. QTC is rated AA+/A-1+/Stable, Aa1/P-1/Stable and AA/F1+/Stable by Standard & Poor’s, Moody’s Investors Service and Fitch Ratings respectively. These stable ratings are a key reason for continued demand from domestic and global investors for QTC debt, and for QTC’s ability to meet the larger issuance requirements through the COVID-19 period.

In addition, Queensland is currently rated AA for environmental, social and governance (ESG) by MSCI as of July 2021*.

Organisational excellence

With its ongoing focus on organisational excellence, QTC met its statutory obligations, completed core business activities on time and delivered initiatives focused on continuous improvement.

QTC upgraded its core finance system and client transaction portal, providing continued improvement to its business operations on time and budget.

Independent recognition of QTC’s leadership and culture has continued in 2020–21 and for the second consecutive year, QTC has been recognised as one of Australia’s best places to work, receiving the ‘Employer of Choice’ Award from Human Resources Director.

Positioned for ongoing success

QTC’s achievements in the 2020–21 financial year have demonstrated significant performance outcomes against each of its strategic goals—to deliver sustainable funding, State and client value and organisational excellence.

QTC has built a strong foundation to continue protecting and advancing Queensland’s financial interests—with a strong reputation for its issuance management in the financial market, ongoing high-performance across all financial indicators, and organisational excellence outcomes that continue to be recognised as leading in the finance industry.

P C NOBLE

Chief Executive

19 August 2021

*As of July 2021, the State of Queensland received an MSCI ESG Rating of AA, ESG Trend Negative. Certain information ©2021 MSCI ESG Research LLC. Data reproduced with permission from MSCI ESG Research LLC. No use or distribution without written consent. Data provided “as is” without any warranties. MSCI ESG Research LLC and affiliates assume no liability for or in connection with the data. Please see complete disclaimer in www.qtc.com.au/queenslands-sustainability-initiatives/.

QTC is a highly-regarded bond issuer in global fixed-income markets and raises the funds needed by the State each year, often ahead of time, with its bond issues consistently over-subscribed.

Due to COVID-19, the 2020–21 State Budget was deferred in line with the Commonwealth and other State Governments. Following the Queensland Government’s interim fiscal update on 23 July 2020, QTC estimated its 2020–21 funding requirement would be between $19 billion and $22 billion. On 7 September 2020, following the release of the State’s COVID-19 Fiscal and Economic Review, QTC announced its indicative term debt borrowing requirement of $21 billion, within the anticipated requirement, and which remained unchanged following the State Budget on 1 December 2020.

QTC issued a total of $21.1 billion through $8 billion in syndicated deals, $5.5 billion in nine tenders and $7.6 billion via reverse enquiry. QTC’s well-managed funding program and reputation for high-quality debt issuance, means Queensland can access the funds it needs at cost-effective rates. To attract a broad investor base, QTC offers investors a diverse range of high-quality investment options.

In 2020–21, QTC maintained the State’s strong liquidity position, which supports the State’s credit rating and provides reserves during periods of market volatility.

QTC successfully executed its funding strategy, with highlights including:

• issuing approximately $15.1 billion of benchmark bonds, including a new $3 billion 2032 bond line—the largest benchmark bond issued by an Australian semi-government issuer since 2011
• issuing approximately $2.1 billion in ultra-long, non-benchmark bonds, including QTC’s longest-dated AUD fixed rate line with a maturity of 2050
• issuing a new $1.5 billion 2031 Climate Bonds Initiative (CBI) certified green bond, the third green bond for QTC—further diversifying QTC’s funding alternatives, and
• issuing $2 billion of a new floating rate note maturing in 2027, QTC’s longest floating rate note to date.

More than 40 per cent of the new 2032 benchmark bond and 2031 green bond deals were allocated to offshore investors and these deals also attracted a number of first-time investors.

On 15 June 2021, QTC announced its indicative $17.4 billion term debt borrowing requirement for 2021–22.

QTC’s proactive management of its borrowing program and the management of its client funding and balance sheet activities helped to smooth and extend its maturity profile, reducing its refinancing risk by achieving more evenly-distributed maturities across the curve. All term debt issued in 2020–21 was in maturities 2027 and longer.

QTC continued to focus on activities to expand its investor base in an environment of restricted travel, delivering an effective virtual domestic and global investor relationship program during the year. Open and transparent communication with current and future investors on Queensland’s economy and funding program has kept the market fully informed and remains a focus. QTC continued to regularly engage with both its Fixed Income Distribution Group and investors through its Funding and Markets Division.

QTC continued to attract a broad range of investors through its green bonds, which support Queensland’s pathway to climate resilience and an environmentally sustainable economy. In November 2020, QTC issued its third and longest CBI certified green bond.

On 1 June 2021, QTC released its Green Bond Annual Report and announced the expansion of its eligible project and asset pool to approximately $16.8 billion from approximately $6.7 billion, through the inclusion of Seqwater’s Drought Resilient Network. This addition increases QTC’s scope for future issuance and provides sector allocation diversity.

QTC is currently the largest Australian semi-government CBI certified, green bond issuer with $3.98 billion outstanding as at 30 June 2021.

As at 30 June 2021

QTC has a diverse range of funding instruments in a variety of markets and currencies. The majority of QTC’s funding is sourced through long-term debt instruments, with QTC’s AUD benchmark bonds being the principal source of funding. As at 30 June 2021, QTC’s total debt outstanding was approximately $112.2 billion at face value.

* Turnover for period 1 April 2020 to 31 March 2021.
** See QTC’s website for further details on non-benchmark bond lines.

In the year under review, QTC has worked closely with Queensland Treasury and the Department of the Premier and Cabinet to prioritise its advisory initiatives to provide the maximum financial and social outcomes for the State.

In 2020–21, QTC delivered a broad range of financial advisory assignments for Queensland Treasury and its public-sector clients that address financial risk management issues and assist in making pragmatic business decisions.

QTC supports its clients to implement significant transformation projects within their own environments and enhance their project delivery capability. In 2020–21, QTC’s advisory work centred around projects that would enable significant benefits to the financial health of the State, with particular focus on local governments and government-owned corporations (GOCs).

Supporting the government’s priorities

QTC focuses on supporting its clients to implement projects that deliver maximum value to the State in terms of risk reduction, increased revenue and cost reduction, and broader social and economic benefits. In the year under review, QTC completed 54 advisory projects, with 28 projects still in progress. The key priority projects that QTC delivered include:

• COVID-19: QTC established and managed the Industry Support Package loans on behalf of the Queensland Government; including client engagement, financial monitoring and reporting. QTC also assisted Arts Queensland in understanding the fiscal implications of COVID related closures on the operations of Queensland Ballet and the Queensland Performing Arts Trust.
• Health: QTC continued its program of work with Queensland Health and Hospital and Health Services (HHSs) to improve the financial sustainability of HHSs. The second program of work was delivered at the Central Queensland, Children’s Health Queensland, Gold Coast, North West, Sunshine Coast, West Moreton and Wide Bay Hospital and Health Services.
• ESG: QTC supported Queensland Treasury on the development of the Queensland Government’s inaugural ESG Statement. The statement outlines the Queensland Government’s commitment to sustainability and presents an overview of Queensland’s ESG credentials, which provides information for QTC’s investors and stakeholders. In addition, QTC worked with Seqwater this year to identify and verify Seqwater’s Drought Resilient Network for inclusion in QTC’s Green Bond eligible project and asset pool. This expanded the total pool to approximately $16.8 billion.
• Land Restoration Fund: QTC worked with the Department of Environment and Science and Queensland Treasury to establish this fund. It is expanding carbon farming in Queensland by supporting land-sector carbon projects that deliver additional environmental, socio-economic, and First Nations co-benefits.
• Energy: QTC actively engaged with Energy Queensland, Powerlink, industry bodies and the Australian Energy Regulator (AER) on the AER’s inflation forecasting methodology. QTC prepared a detailed submission for the AER Inflation Review and the revised methodology was finalised in December 2020 with significant benefits to be realised from the changes in the coming years.
• GOCs: QTC has also assisted Queensland’s GOCs with a range of advisory work around risk management, forecasting, asset and debt strategies and commercial evaluations.

Fostering strong relationships with local governments

Throughout the year, QTC has worked closely with many local governments to help deliver positive community outcomes in a financially responsible way. This includes economic development initiatives and advice about financially managing the complexities of community requirements in regional centres.

QTC offered and delivered a business improvement program for a number of regional local governments to identify and implement process and efficiency opportunities. QTC also assisted larger local governments to develop a waste management strategy, assess infrastructure and development proposals, and review water and wastewater pricing.

QTC engaged and collaborated with local government groups, associations and regional organisations of councils across the State.

QTC has continued to work closely with Queensland Treasury and its government clients to improve whole-of-state balance sheet outcomes. QTC continued to provide low-cost loans and high-performing investment facilities throughout 2020–21.

Debt and risk management

In the year under review, QTC has continued to successfully deliver its core mandate of providing clients with a low cost of funds by capturing the significant economies of scale and scope in the issuance, management and administration of the State’s debt.

QTC’s active management of the State’s debt provided a reduction of $112 million in the market value of Queensland Treasury’s borrowings, equivalent to a 0.04% decrease in the notional book interest rate for 2021–22.

QTC continued to focus on reducing the State’s refinancing and interest rate risk by restructuring client loans and extending client mandates and facilities to take advantage of very low interest rates. Lengthening duration, changing the cycle of book rate reviews to quarterly and restructuring facilities has led to approximately $218 million in cash flow savings for Queensland Treasury in 2020–21, with flow-on benefit over the forward estimates.

QTC also lengthened duration for four government owned corporation/commercial statutory authority borrowings (leading to $6 million in cash flow savings this financial year and additional benefit over the forward estimates).

As part of the process, QTC completed a credit refinance assessment of existing Fixed Rate Loans for all 55 borrowing councils to assess their ability to benefit from low interest rates by refinancing and extending the term of their loans. This resulted in eight councils refinancing and locking in lower rates to reduce their current repayment amounts (leading to savings of $54 million per annum over the forward estimates and beyond).

In 2020–21, QTC provided financial and risk management advice to Queensland Treasury on the Gold Coast Light Rail (public, private partnership) phase 3, including: interest rate risk management and hedging, and development of the financial close acceptance protocol— both of which foster beneficial financial outcomes for the State.

Cash management

QTC offers cash management products that enable its clients to maximise the value of their surplus funds, including Fixed Rate Deposits, a Working Capital Facility and a Capital Guaranteed Cash Fund (the Cash Fund).

In 2020–21, QTC’s Capital Guaranteed Cash Fund delivered $71 million in investment returns to its government clients during the year and retained its position as one of the largest managed cash funds in Australia with $9.6 billion under management at 30 June. The Cash Fund provided strong relative returns and outperformed the Bloomberg AusBond Bank Bill Index by 70 basis points, a significant result given the unprecedented levels of quantitative easing and liquidity provided by the Reserve Bank of Australia.

Throughout the year, QTC focused on an asset management strategy to provide protection against falling outright yields and tightening credit spreads. This asset strategy included lengthening asset duration at very attractive yields following the announcement of the Reserve Bank of Australia liquidity support programs.

The Cash Fund continues to offer flexibility by providing clients with immediate access to same day liquidity. The security of the Cash Fund is underpinned by the liquid assets investment profile. At 30 June, 100 per cent of the Cash Fund’s investments were in entities rated ‘A’ or higher by Standard & Poor’s.

Throughout the year, QTC continued to meet with clients to provide insights into the Cash Fund’s structure, strategy and performance, and dynamically managed credit and money market positions in a challenging environment due to the Term Funding Facility offered by the Reserve Bank of Australia.

QTC has been an early adopter domestically in considering ESG issues. Morgan Stanley Capital International (MSCI) provides reporting of the Cash Fund’s ESG profile.

Foreign exchange

QTC’s foreign exchange (FX) services, including its online platform, enable its public sector clients to access wholesale market rates. This year, the FX client base has continued to grow with an increasing number of clients utilising this service. In 2020–21, QTC FX transaction volumes totalled $141 million and saved approximately $3.6 million for the State through its FX services. QTC continued to work with agencies to increase cost saving opportunities through dual currency pricing for the procurement of goods sourced from offshore.

QTC provides education services to enhance financial decision-making and support effective engagement with its clients. Since 2017, the University of Queensland (UQ) facilitates the design and delivery of specialised content across the State. In 2020–21, the education program delivered financial workshops to more than 3,315 participants through a combination of workshops, webinars and masterclass sessions.

Key milestones were achieved through delivering contextualised training programs to several Hospital and Health Services, and the Department of State Development, Infrastructure, Local Government, and Planning (DSDILGP) over the course of the last twelve months. Additionally, the education program reached a wide range of public sector employees in a variety of different topics linked to financial management.

To support ongoing development, the education program launched a pre- and post-workshop platform, which includes digital readings, activities, and video content to engage learners in new subject areas in advance of and post-workshop attendance.

* General Government includes Queensland Treasury and Arts Queensland.

QTC’s strong performance in 2020–21 was underpinned by its enterprise design, risk management, talent development and culture.

Throughout the year, QTC has remained agile and responsive in its approach to sustaining and enhancing its operational excellence to support its core business of managing financial risk for the State.

An ongoing focus on the continuous improvement of QTC’s organisational capability has delivered further enhancements to systems, risk management and talent development practices. These improvements have optimised the foundation of how QTC’s core funding and advisory functions are delivered and are providing employees with a strong platform to maximise the delivery of real value to the State.

QTC was able to lead the implementation of new systems, including an update to its client transaction portal, which has enhanced system security and risk management. QTC settled $467.4 billion in transaction volume, with no cost of errors.

QTC also upgraded its core finance system, and enabled six new financial instruments that enhance our responsiveness to market conditions, and also provide significant internal process efficiencies.

In response to COVID-19, QTC has enhanced its readiness for business disruption and delivered ongoing benefits including an increased capability for virtual engagement with investors, clients and employees, more flexible and adaptive working arrangements, and a strengthened operational resilience to cyber threats.

QTC continues to cultivate a healthy risk environment, with a proactive approach to identifying and mitigating risks.

QTC manages its risks within an enterprise-wide risk management framework to identify, assess and manage risks. In 2020–21, QTC established a new Enterprise Design Committee to provide greater oversight of change management initiatives and manage underlying risks.

QTC produces a risk appetite statement that sets the tone from the top for risk management and establishes clear boundaries within which QTC’s material risks are managed. The framework incorporates key internal controls, and through periodic attestation by control owners, assurance is given to management and the Board that these controls are operating effectively. Throughout 2020–21, QTC managed its portfolio market risk exposures, including interest rate, foreign exchange and counterparty risk, within its Board-approved risk management framework. QTC continues to hold a portfolio of diverse, liquid financial securities to meet the State’s liquidity requirements, consistent with policy requirements.

The outcome of the 2020–21 internal audit program was positive with 12 internal audits conducted and completed successfully. Of these audits, five carried a rating of ‘4 out of 5’ and six carried a rating of ‘5 out of 5’, demonstrating a well-controlled environment. QTC also received a ‘5 out of 5’ rating for key controls that were implemented for workforce management in response to COVID-19, and for its exceptionally well-controlled industry support package loan management processes.

QTC employees also completed 3.5 hours of mandatory compliance training with an emphasis on code of conduct, work health and safety, cyber security, financial crime awareness, and privacy. Annual targeted and tailored training is completed by all employees to ensure they are continuously informed of their compliance obligations.

QTC’s talent, engagement and development practices continue to support a high-performance workforce.

QTC competes in the global financial industry to attract and retain its high calibre employees. Under the Queensland Treasury Corporation Act 1988, QTC employees are hired on individual contracts, with employment practices aligned to the financial markets in which it operates.

QTC’s remuneration framework is a key driver of attracting and retaining our high-performing employees and enabling our culture. Employees’ total compensation packages are comprised of fixed and variable remuneration elements (with entitlement to the variable component based on eligibility). Total compensation is benchmarked against remuneration data from the Financial Institutions Remuneration Group Inc (FIRG), which provides salary survey data for the Australian finance industry. QTC’s variable remuneration element of total compensation provides an opportunity for an annual short-term incentive for eligible employees, designed to ensure market competitiveness and reward outstanding organisational and individual performance. The QTC Board approves the entitlement to, and the quantum of, the annual review of fixed remuneration and variable short-term incentives.

The Board regularly reviews QTC’s remuneration framework to ensure that it aligns to the financial services market and meets its strategic priorities. In 2020–21, an independent review of the framework was completed, with assistance from external remuneration experts.

The review confirmed that QTC’s remuneration philosophy remains market-aligned, and recommended a number of changes to reflect recent changes to market practice, including lowering variable remuneration as a proportion of total fixed and variable compensation on a broadly revenue neutral basis, and aligning corporate and individual performance recognition for employees.

With an articulated commitment to our employees to enable ‘the best work of their career’ the key focus areas have been on delivering against our leadership, talent and professional development strategies to strengthen organisational capability.

In 2020–21, key initiatives included:

• strengthening a capability framework and supporting tools to guide professional skills development, recruitment and resource allocation
• enhancing flexible and adaptive working arrangements to further support a high-performing, agile, and diverse culture
• a continued focus on leadership development and leadership excellence, including through targeted leadership competencies articulated in the capability framework and a senior leaders’ development program
• delivering in-house workshops focusing on individual development, planning, and resilience
• continuing to provide on-demand professional development resources via our learning platform
• strategic workforce planning to align to our organisational vision and strategy, while incorporating the consideration of the future of work, digital transformation, and impacts of automation
• project opportunities embedded within client organisations
• talent management and succession planning programs
• CEO Awards recognition program, providing non-monetary recognition of individual employees and teams who exemplify QTC’s values, and
• culture and diversity programs.

QTC continues to grow an inclusive, diverse, flexible and high-performance culture. For the second consecutive year, QTC was awarded the ‘Employer of Choice’ award from Human Resources Director (HRD).

In 2020–21, QTC introduced a new cultural development strategy based on the three cultural pillars of clarity, candour, and connection. The strategy is focused on ensuring the alignment of focus and purpose, direct and healthy challenge, and increased collaboration.

QTC continues to cultivate a risk culture that ensures issues and risks in the business environment are anticipated and impacts for QTC and stakeholders are managed effectively. This has been further strengthened by a focus on candour as part of QTC’s new cultural development strategy.

QTC’s 2020 culture survey returned positive results with QTC achieving an 86 per cent engagement rate–8 per cent higher than the industry average.

QTC’s Inclusion and Diversity Strategy recognises that diversity of perspective and experience improves performance, manages risk, and enhances decision making. In 2020–21, under the strategy’s three priority streams of culture, family and community, and gender, QTC:

• continued the Stepping Stone partnership and the intern program with the Australian Network on Disability
• continued its range of mental and physical health programs to support employee wellbeing, including health and fitness checks, ergonomic evaluations, fitness passports and flu vaccinations
• raised awareness for inclusivity and diversity by supporting National Reconciliation Week during NAIDOC Week, RUOK Day, the UNICEF India COVID-19 Relief Appeal, Harmony Day, International Women’s Day, and International Day of Disability, and
• embraced community giving by fundraising for a number of additional charities in 2020–21, including Movember (supporting men’s health), and The Push-Up Challenge (supporting Headspace, the National Youth Mental Health Foundation; Lifeline Australia; and The Push For Better Foundation).

QTC’s policies support flexible and adaptive working. QTC has a range of working arrangements to enable business outcomes and remain responsive and agile.

QTC was recognised with the ‘5-star employer of choice award’ as an employer that provides outstanding initiatives for career growth with learning and development opportunities, recognition programs and an all-encompassing, constructive culture.

QTC supported the development of the Borumba Dam pumped hydro station proposal, which has the potential to be the State’s largest pumped hydro station, and power an estimated 1.5 million homes. The business case, being prepared by Powerlink, is expected to be submitted by mid-to-end-2023.

Pumped hydro storage is flexible, reliable, and complements renewable energy generation such as solar and wind.

QTC worked with the Department of Environment and Science and Queensland Treasury to establish the Land Restoration Fund. The fund is expanding carbon farming in Queensland by supporting land-sector carbon projects that deliver additional environmental, socio-economic, and First Nations co-benefits. Following the 2020 investment round, 16 projects have been contracted for an investment of nearly $90 million and the fund will be offering a second investment round in 2021.

QTC supported Queensland Treasury on the development of the Queensland Government’s inaugural ESG Statement. The statement outlines the Queensland Government’s commitment to sustainability and presents an overview of Queensland’s ESG credentials, which provides information for QTC’s investors and stakeholders.

In 2020–21, QTC implemented reporting on the Cash Fund’s ESG profile, using the globally recognised ESG reporting provider Morgan Stanley Capital International (MSCI). The fund’s monthly ESG score is based on the weighted average ESG score of each of the fund’s bond investments. The Fund has remained above the weighted average ESG score for the AUD credit floating rate note market throughout the year.

QTC continued to attract significant demand for its green bonds. In November 2020, QTC issued its third and longest green bond line—$1.5 billion of a new 2031 green bond. In 2020–21, QTC announced the expansion of its eligible project and asset pool to approximately $16.8 billion, from approximately $6.7 billion, through the inclusion of Seqwater’s Drought Resilient Network. This increases QTC’s scope for future issuance and provides sector allocation diversity. QTC is currently the largest Australian semi-government, Climate Bonds Initiative (CBI) Certified, green bond issuer with $3.98 billion on issue as at 30 June 2021. QTC’s green bonds support Queensland’s pathway to climate resilience and an environmentally sustainable economy.

QTC works closely with its clients on advisory initiatives that support social outcomes for the State. In 2020–21, this included projects to support the Government and industries through COVID-19; significant outcomes to improve health services; building solutions for social services and regional local governments; and support for the Indigenous non-profit organisation, Heart Futures.

QTC contributed at an organisational, team and individual level to a number of social causes.

QTC continued its partnership with Stepping Stone, and the intern program with the Australian Network on Disability and supported a range of diversity and inclusion initiatives including National Reconciliation Week during NAIDOC Week, RUOK Day, the UNICEF India COVID-19 Relief Appeal, Harmony Day, International Women’s Day, and International Day of Disability.

QTC employees embraced community giving by fundraising for a number of additional charities in 2020–21, including Movember (supporting men’s health), and The Push-Up Challenge (supporting Headspace, the National Youth Mental Health Foundation; Lifeline Australia; and The Push For Better Foundation).

QTC was established by the Queensland Treasury Corporation Act 1988 (the QTC Act) as a corporation sole (ie, a corporation that consists solely of a nominated office holder). The Under Treasurer of Queensland is QTC’s nominated office holder and has delegated QTC’s powers to its two boards:

• the Queensland Treasury Corporation Capital Markets Board (the Board), which was established in 1991 and manages all of QTC’s operations except those relating to certain superannuation and other long-term assets, and
• the State Investment Advisory Board, which was established in July 2008 to manage the State’s long-term assets.

The Under Treasurer, as QTC’s corporation sole, and the QTC Capital Markets Board have agreed the terms and administrative arrangements for the exercise of the powers that the corporation sole has delegated to the Board.

The Board operates in accordance with its charter, which sets out its commitment to various corporate governance principles and standards, its roles and responsibilities (based on its delegated powers), and the conduct of meetings. The charter provides that the role and functions of the Board are to:

• lead and oversee QTC
• approve the strategic direction and significant strategic initiatives of QTC
• approve Board-owned policies and charters
• oversee organisational culture, values, behaviours and risk
• ensure compliance with relevant legal, tax and regulatory obligations
• approve the annual financial statements and the annual report
• approve the annual administration budget and the total full-time equivalent complement
• approve major contracts and agreements
• approve the Corporate Plan, including the corporate performance measures
• approve the annual assessment of corporate performance
• approve the Remuneration Framework, the remuneration pool and short-term incentive targets
• approve the appointment/reappointment/dismissal of the Chief Executive and assess the Chief Executive’s performance against annual performance objectives
• approve the appointment of the internal audit partner and the annual Internal Audit Plan
• oversee the external audit program, and
• evaluate Board and Board committee performance.

The Board typically holds nine meetings each year and may, whenever necessary, hold additional meetings.

Board appointments

The Board comprises members who are appointed by the Governor-in-Council, pursuant to section 10(2) of the QTC Act. Consideration is given to each Board member’s qualifications, experience, skills, strategic ability and commitment to contribute to QTC’s performance and achievement of its corporate objectives. QTC’s Board is constituted entirely of non-executive directors.

Conflict of interest

Board members are required to monitor and disclose any actual or potential conflicts of interest. Unless the Board determines otherwise, a conflicted Board member may not receive any Board papers, attend any meetings or take part in any decisions relating to declared interests.

Performance and remuneration

To ensure continuous improvement and to enhance overall effectiveness, the Board conducts an annual assessment of its performance. Board members’ remuneration is determined by the Governor-in-Council (details are disclosed in QTC’s financial statements).

Board committees

The Board has established three committees, each with its own charter, to assist it in overseeing and governing various QTC activities. The complete roles and responsibilities of each committee are outlined in the charters available on the QTC website.

Risk and Audit Committee

The Risk and Audit Committee is a decision-making and advisory body responsible for overseeing and assisting the Board with:

• the appropriateness and effectiveness of QTC’s enterprise-wide risk management system (including the enterprise-wide risk management framework, the risk appetite statement, and risk management strategies and policies) and the internal control framework
• risk and risk management, including carriage of the risks attributed to the Risk and Audit Committee
• the effectiveness of internal control processes
• the integrity of the financial statements and associated year-end and interim processes, and
• the adequacy and effectiveness of audit activities.

The Risk and Audit Committee must have at least three members and meet at least four times a year.

During the year, the Risk and Audit Committee recommended the adoption of annual financial statements, reviewed external and internal audit reports and the progress in implementing the recommendations from those reports, and reviewed QTC’s Internal Audit Plan and the Queensland Audit Office’s External Audit Plan.

Human Resources Committee

The Human Resources Committee is a decision-making and advisory body responsible for overseeing and assisting the Board with:

• human resources-related key policies and compliance with relevant legislation
• the framework for remuneration and performance reviews
• the integrity and consistency of QTC’s corporate culture
• succession planning for the executive leadership team, executive development and talent pipeline risks
• strategic workforce planning and operational resource planning, and
• people material risks.

The Human Resources Committee must have at least three members and meet at least three times a year.

Funding and Markets Committee

The Funding and Markets Committee is a decision-making and advisory body responsible for overseeing and assisting the Board with:

• funding and markets-related key policies and compliance with relevant legislation
• the alignment of funding and markets activities with QTC’s policies and risk appetite
• QTC’s risk appetite, risk tolerance and risk mitigation strategies for funding and markets activities
• assessing QTC’s ability to access suitable funding markets to meet the State’s borrowing requirements and maintain appropriate levels of liquidity
• liquidity pool performance, and
• Cash Fund and Asset Liability Management Portfolio performance.

The Funding and Markets Committee must have at least three members and meet at least four times a year.

Meetings held

¹  The terms for Mr Bradley and Mr Stening expired on 30 June 2020. Both members were reappointed from 16 July 2020 until 30 June 2023.
²  Mr Allen was appointed to the Board from 16 July 2020. This is an ex officio appointment within Queensland Treasury.
³ Ms Vilgan was appointed to the Board from 1 October 2020.

The responsibility for the day-to-day operation and administration of QTC is delegated by the Board to the Chief Executive and the Executive Leadership Team. The Chief Executive is appointed by the Board and executives are appointed by the Chief Executive. Executive Leadership Team appointments are made on the basis of qualifications, experience, skills, strategic ability, and commitment to contribute to QTC’s performance and achievement of its corporate objectives.

QTC’s Executive Leadership Team

as at 30 June 2021

The Financial and Performance Management Standard 2019 (Qld) (Standard) governs the operation of QTC’s internal audit function. QTC outsourced its independent internal audit function to EY for the 2020–21 financial year. Internal audit reports to the Risk and Audit Committee and is conducted under an Internal Audit Policy, consistent with the relevant audit and ethical standards. The role of internal audit is to support QTC’s corporate governance framework by providing the Board (through the Risk and Audit Committee) with:

• assurance that QTC has effective, efficient and economical internal controls in place to support the achievement of its objectives, including the management of risk, and
• advice with respect to QTC’s internal controls and business processes.

Internal audit is responsible for:

• developing an annual audit plan, based on the assessment of financial and business risks aligned with QTC’s strategic goals and objectives, as well as material risks, and approved by the Risk and Audit Committee
• providing regular audit reports and periodic program management reports to the management team and the Risk and Audit Committee, and
• working constructively with QTC’s management team to challenge and improve established and proposed practices and to put forward ideas for process improvement.

In the year under review, EY completed its internal audits in accordance with the approved annual audit plan.

In accordance with the provisions of the Auditor-General Act 2009, the Queensland Audit Office is the external auditor for QTC. The Queensland Audit Office has the responsibility for providing Queensland’s Parliament with assurances as to the adequacy of QTC’s discharge of its financial and administrative obligations.

All audit recommendations raised by the Queensland Audit Office that were due during the reporting period were addressed.

The State Investment Advisory Board (SIAB) was established in 2008 as an advisory Board of Queensland Treasury Corporation under section 10 of the QTC Act. SIAB was established to manage long-term assets for the State by a board independent of QTC’s capital markets operations. The long-term assets have no impact on QTC’s capital markets operations and there is no cash flow affect for QTC.

In 2020–21, with power delegated from QTC, the SIAB was responsible for:

• providing governance oversight of the financial assets set aside by the Queensland Government to meet future employee liabilities and other long-term obligations of the State
• providing governance oversight of the financial assets that relate to the Debt Retirement Fund established under the Queensland Future Fund Act 2020, and
• providing investment governance assistance in connection with the Financial Provisioning Fund established under the Mineral and Energy Resources (Financial Provisioning) Act 2018 and the National Injury Insurance Scheme Fund, Queensland.

The SIAB members are appointed by the Governor-in-Council, pursuant to section 10(2) of the QTC Act. Remuneration for the SIAB members is determined by the Governor-in-Council. The members of the SIAB were:

¹ The Chair of SIAB is an ex officio role. Rachel Hunter was Chair until Leon Allen was appointed as the Acting Under Treasurer from 29 April 2021.

² This position is an ex officio appointment within Queensland Treasury. Glenn Miller acted as the ex officio member until William Ryan assumed the role from 19 November 2020.

Leon Allen

BA (HUM), GRAD DIP PUBLIC POLICY, MAICD

Chairman Appointed 29 April 2021.

Leon Allen is acting as Under Treasurer of Queensland Treasury, a role he has held since May 2021. Mr Allen joined Queensland Treasury in May 2020 as Deputy Under Treasurer with responsibility for economic, fiscal and commercial policy.

Prior to this appointment, Mr Allen held senior leadership roles with the Commonwealth Bank of Australia’s Institutional Banking & Markets division for 13 years; including as CEO and Managing Director Americas, leading the bank’s operations in North America between 2016–2020.

His career has included roles with the Australian Government’s Department of Finance, the Australian National Audit Office, the Queensland Department of the Premier and Cabinet, and Ergon Energy. Mr Allen is also the Chair of South Bank Corporation, which manages a major urban and cultural precinct in Brisbane.

William Ryan

BBUS (BANKING AND FIN), GRAD CERT POLICY ANALYSIS

Appointed 19 November 2020.

William Ryan is the Head of Fiscal, Queensland Treasury, with responsibilities for managing the State’s budget and balance sheet, and ensuring the long-term sustainability of Queensland’s fiscal position. He forms part of Queensland Treasury’s Senior Leadership Team and serves as a member of the Queensland Government Insurance Fund Governance Committee.

Prior to his current role, Mr Ryan held senior leadership roles in Queensland Treasury over a 19-year career. These roles have included developing investment programs, financial assurance modelling, infrastructure program and economic policy analysis.

Maria Wilton AM

BEC, CFA, FAICD, FAIST

Appointed 4 July 2019.

Maria Wilton has more than 30 years’ experience in the financial services industry. Ms Wilton was Chair and Managing Director of Franklin Templeton Investments Australia from 2006–2018. She previously held roles with BT Financial Group, County Investment Management, JP Morgan Investment Management and Commonwealth Treasury.

Ms Wilton is currently Vice Chair of the Global Board of Governors of the Chartered Financial Analyst Institute and Vice Chair of Infrastructure Victoria and Chair of the Audit Committee. She is a Director of Australia Post Super, Dexus Wholesale Property Fund, WorkSafe, VFMC and the Confident Girls Foundation.

Tony Hawkins AM

B COMM, DIP OF FIN MGT, FCPA, GAICD

Appointed 4 July 2019.

Tony Hawkins has more than 45 years’ experience in the insurance, financial services, mining, building and construction industries. He was the CEO of WorkCover Queensland from 1998–2016 and was responsible for a turnover of $1.5 billion.

Prior to this, Mr Hawkins held management positions at AXA Australia, National Mutual and Australian Casualty and Life.

Mr Hawkins is currently a Director at Lexon Insurance Pty Ltd and the Operations Manager at KA Hawkins Constructions Pty Ltd. He has previously held directorships at QSuper Limited and the Queensland Workplace Health and Safety Board.

Philip (Phil) Graham

BA (ECON, HONS), MCOM (FIN, HONS), CFA, GAICD

Appointed 4 July 2019.

Phil Graham has extensive experience in investment management, financial markets, and economic policy. He is an independent member of the Lonsec Asset Allocation Committee and a consultant to AustralianSuper.

Mr Graham was Senior Portfolio Strategist and Deputy Chief Investment Officer at Mercer from 2007–2018. He also held senior roles at QIC and Access Capital Advisors, and prior to this he worked for the Reserve Bank of Australia and the ANZ Banking Group.

Mr Graham is a past-President of the CFA Society of Melbourne and was the Presidents Council Representative for the CFA Asia Pacific North and Oceania region in 2015–2019. He currently serves on the CFA Disciplinary Review Committee.

The foregoing general purpose financial statements have been prepared in accordance with the Financial Accountability Act 2009 and other prescribed requirements.

The Directors draw attention to note 2(a) to the financial statements, which includes a statement of compliance with International Financial Reporting Standards.

We certify that in our opinion:

i. the prescribed requirements for establishing and keeping the accounts have been complied with in all material respects, and

ii. the foregoing annual financial statements have been drawn up so as to present a true and fair view of Queensland Treasury Corporation’s assets and liabilities, financial position and financial performance for the year ended 30 June 2021.

The financial statements are authorised for issue on the date of signing this certificate which is signed in accordance with a resolution of the Capital Markets Board.

G P BRADLEY

Chairman

P C NOBLE

Chief Executive

Brisbane

19 August 2021

QTC is required to make various disclosures in its Annual Report. QTC is also required to make various disclosures on the Queensland Government’s Open Data website (data.qld.gov.au) in lieu of inclusion in its Annual Report. This appendix sets out those mandatory disclosure statements that are not included elsewhere in the report or made available on the Open Data website.

QTC is committed to providing accessible services to Queensland residents from culturally and linguistically diverse backgrounds. QTC did not receive any requests for interpreters and there was no overseas travel in 2020–21.

Information systems and record keeping

QTC adheres to the Public Records Act 2002 and the General Retention and Disposal Schedule with respect to information and records management.

QTC continues to evolve its electronic document and information management systems for improved management of both digital and physical records particularly in relation to expanding cloud technologies. QTC is maturing its information security capabilities to protect internally and externally accessible records.

QTC has not experienced any serious breaches and continues to place focus on education, communication and evolving our technical environment to ensure the importance of information and records management remains front-of-mind.

Public Sector Ethics Act

QTC provides the following information pursuant to obligations under section 23 of the Public Sector Ethics Act 1994 (Qld) to report on action taken to comply with certain sections of the Act.

QTC employees are required to comply with QTC’s Code of Conduct for employees, which aligns with the ethics principles and values in the Public Sector Ethics Act 1994 (Qld), as well as the Code of Conduct established by the Australian Financial Markets Association of which QTC is a member. Both codes are available to employees via QTC’s intranet. A copy of QTC’s Code of Conduct can be inspected by contacting QTC’s Human Resources Group (see Appendix D for contact details). Appropriate education and training about the Code of Conduct has been provided to QTC staff.

QTC’s human resource management and corporate governance policies and practices ensure that QTC:

• acts ethically with regard to the conduct of its business activities and within appropriate law, policy and convention, and
• addresses the systems and processes necessary for the proper direction and management of its business and affairs.

QTC is committed to:

• observing high standards of integrity and fair-dealing in the conduct of its business, and
• acting with due care, diligence and skill.

QTC’s Compliance Policy requires that QTC and all employees comply with the letter and the spirit of all relevant laws and regulations, industry standards, and relevant government policies, as well as QTC’s own policies and procedures.

Human Rights Act

QTC’s strategic and operational plans are in line with the objectives of the Human Rights Act 2019 (the Act). The plans aim to ensure QTC is respecting, protecting and promoting human rights in decision making and actions.

The Act requires QTC to consider human rights when performing functions of a public nature and only limit human rights after careful consideration. QTC’s internal policies and practices are aligned to the Act, as guided by external advice.

Remuneration: Board and Committee

For the year ending 30 June 2021, the remuneration and committee fees of the QTC Capital Market Board members (excluding superannuation contributions and non-monetary benefits) were as follows:

The total remuneration payments made to the members of the QTC Capital Markets Board was $337,873 and the total on-costs (including travel, accommodation, car parking and professional memberships for members) was $12,485.

For the year ending 30 June 2021, the remuneration and committee fees of the QTC State Investment Advisory Board members (excluding superannuation contributions and non-monetary benefits) were as follows:

The total remuneration payments made to the members of the QTC State Investment Advisory Board was $110,214 and the total on-costs (including travel, accommodation, car parking and professional memberships for members) was $3,303.

Related entities

The related entities in Note 23 are not equity accounted in the financial report of the Queensland Treasury Corporation. These entities are consolidated into Queensland Treasury’s financial report.

Basis point: One hundredth of one per cent (0.01 per cent).

Bond: A financial instrument where the borrower agrees to pay the investor a rate of interest for a fixed period of time. A typical bond will involve regular interest payments and a return of principal at maturity.

CP (commercial paper): A short-term money market instrument issued at a discount with the full face value repaid at maturity. CP can be issued in various currencies with a term to maturity of less than one year.

Credit rating: Measures a borrower’s creditworthiness and provides an international framework for comparing the credit quality of issuers and rated debt securities. Rating agencies allocate three kinds of ratings: issuer credit ratings, long-term debt and short-term debt. Issuer credit ratings are among the most widely watched. They measure the creditworthiness of the borrower including its capacity and willingness to meet financial obligations.

Fixed Income Distribution Group: A group of financial intermediaries who market and make prices in QTC’s debt instruments.

Floating rate notes (FRNs): A debt instrument which pays a variable rate of interest (coupon) at specified dates over the term of the debt, as well as repaying the principal at the maturity date. The floating rate is usually a money market reference rate, such as BBSW, plus a fixed margin. Typically the interest is paid quarterly or monthly.

GOC: Government-owned Corporation.

Green Bonds: QTC green bonds on issue are guaranteed by the Queensland State Government, issued under the AUD Bond Program with Rule 144A capability and certified by the Climate Bonds Initiative (CBI). Proceeds from QTC green bonds are allocated against eligible projects and assets in accordance with QTC’s Green Bond Framework. Eligible projects and assets are those funded, entirely or in part, by the Queensland Government, State-Government related entities and local governments that support Queensland’s pathway to climate resilience and an environmentally sustainable economy. QTC’s Green Bond Framework is aligned with the CBI Climate Bonds Standard 3.0 and the International Capital Market Association (ICMA) Green Bond Principles 2018 allowing QTC to issue both CBI certified green bonds and ICMA Green Bond Principles certified green bonds. An independent third party provides assurance of QTC’s framework, eligible project and asset pool and green bonds on issue.

Issue price: The price at which a new security is issued in the primary market.

Liquid: Markets or instruments are described as being liquid, and having depth, if there are enough buyers and sellers to absorb sudden shifts in supply and demand without price distortions.

Market value: The price at which an instrument can be purchased or sold in the current market.

MTN (Medium-Term Note): A financial debt instrument that can be structured to meet an investor’s requirements in regards to interest rate basis, currency and maturity. MTNs usually have maturities between nine months and 30 years.

QTC: Queensland Treasury Corporation.

RBA: Reserve Bank of Australia.

T-Note (Treasury Note): A short-term money market instrument issued at a discount with the full face value repaid at maturity. T-Notes are issued in Australian dollars with a term to maturity of less than one year.

Note: This checklist excludes reference to any requirements that do not apply to QTC for the current reporting period.

^{FAA: Financial Accountability Act 2009; FPMS: Financial and Performance Management Standard 2019;
ARRs: Annual report requirements for Queensland Government agencies}

Queensland Treasury Corporation

Level 31, 111 Eagle Street

Brisbane Queensland Australia

GPO Box 1096

Brisbane Queensland

Australia 4001

Telephone: +61 7 3842 4600

Email: enquiry@qtc.com.au

Internet: www.qtc.com.au

Queensland Treasury Corporation’s annual reports (ISSN 1837-1256 print; ISSN 1837-1264 online) are available on QTC’s website at www.qtc.com.au/about-qtc/annual-reports.

If you would like a copy of a report posted to you, please call QTC’s reception on +61 7 3842 4600.

If you would like to comment on a report, please complete the online enquiry form located on our website.

	Telephone
Queensland Treasury Corporation (Reception)	+61 7 3842 4600
Stock Registry (Link Market Services Ltd)	1800 777 166

QTC is committed to providing accessible services to Queensland residents from culturally and linguistically diverse backgrounds. If you have difficulty understanding this report, please contact QTC’s reception on +61 7 3842 4600 and we will arrange for an interpreter to assist you.

Information for institutional investors

Core to its key funding principles, QTC is committed to being open and transparent with investors and its partners in the financial markets.

Through its website, QTC provides a range of information for institutional investors on its various funding instruments, its annual borrowing program (including daily outstandings) and its Fixed Income Distribution Group. The website also provides information and links about Australia and Queensland to help investors gain a better understanding of:

• the different levels of government in Australia
• the forms of fiscal support the Australian Government provides to the states and territories
• relevant governance practices, legislation and policies
• financial data and budget information, and
• economic and trade data

QTC also offers institutional investors the ability to subscribe from its institutional investor section of the website to quarterly funding and market announcement updates, and QTC’s weekly AUD Bond Outstandings report.

Website: qtc.qld.gov.au/institutional-investors

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