Jamal Hakim reveals bold economic plan for Melbourne

Lord Mayoral candidate Jamal Hakim has announced a $150 million policy seeking to establish “Experience Improvement Districts” (XIDs) in Melbourne based on similar models adopted in cities like London and New York.

Dubbed a “groundbreaking initiative” by Team Hakim, the policy aimed at “turbocharging” the city’s economy, has been developed collaboratively with Jace Tyrrell from London’s City Squared Consulting.

Cr Hakim said that its “innovative approach” built on globally proven “Business Improvement Districts” (BIDs) in London’s West End and New York’s Times Square, and that Melbourne would enhance the concept by creating immersive, experience-driven business precincts going “beyond traditional economic development models”.

BIDs allow businesses to collaborate to invest in projects to benefit their trading environment, and typically require them to pay a membership fee, which is then pooled to fund improvements and initiatives.

A global first-of-its-kind, Team Hakim’s policy would introduce XIDs. Differing from BIDs that focus primarily on business improvement, XIDs aim to transform entire precincts into interactive spaces that draw in workers, residents, and visitors.

Cr Hakim said his economic strategy was designed to tackle Melbourne’s pressing economic challenges and to set the stage for sustainable, long-term growth.

“Melbourne has always been known as a vibrant cultural hub,” Cr Hakim said. “And now, more than ever, we need bold leadership to ensure we thrive as a global economic leader in industries like clean energy, biotechnology, and digital games.”

To be funded through a $150 million public-private partnership every five years, the districts would target both the daytime economy with hybrid workspaces programs and the nighttime economy by supporting cultural events, night markets, and entertainment hubs.

“The success of BIDs around the world has shown that collective business investment can lead to significant economic gains. XIDs will take this further by creating dynamic, immersive environments,” Mr Tyrrell said.

Cr Hakim said XIDs were projected to deliver substantial economic benefits, including a 30 per cent increase in business turnover above market over 10 years and “a surge in job creation across Melbourne and key precincts”.

As part of his policy, he also wants to advocate to the state government for payroll and land tax reforms, arguing that the current payroll tax system disproportionately affects small and medium-sized enterprises (SMEs), “stifling their growth”.

Cr Hakim’s strategy proposes a sliding payroll tax scale to alleviate this burden, enabling SMEs to transition into larger operations without facing prohibitive financial constraints.

Team Hakim has also already announced a grant program to support the development of on-site childcare facilities in workplaces throughout the CBD, which he says would “re-energise Melbourne’s workforce”. •