Fed leadership woes damaging NSW: Baird

Treasurer Mike Baird says the ongoing federal Labor leadership issue is damaging the NSW economy. Source: AAP

THE ongoing federal Labor leadership issue is undermining business confidence and damaging the NSW economy, state treasurer Mike Baird says.

"If you're a business at the moment are you going to take long-term investment decisions? Long-term employment decisions?," he told Sky News on Sunday.

"That is the real difficulty that we are facing in this state and across the country with the chaos and uncertainty on policy and uncertainty [of] who is going to be prime minister of the country on a week-to-week basis.

"It is absolutely having an impact on confidence, and that is seriously damaging the economy."

Mr Baird predicted there would be a surge in confidence and economic activity under an Abbott-Hockey government.

He also said he would also be expecting more funds for state infrastructure projects under a coalition government after the September 14 poll.

Mr Baird backed previous comments by Premier Barry O'Farrell in saying it's time for a "mature debate" about increasing the GST.

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