THE head of Bendigo Bank says Bendigo could be the key to managing a population surge which has made Victoria the fastest growing state – if it embraces disruptive technologies and emerging industries.

But chief executive officer Mike Hirst says superannuation reform, increased state investment and effective rolling out the NBN will also be required to make that a reality.

Speaking at a Committee for Economic Development of Australia (CEDA) forum on regional development on Thursday, Mike Hirst identified population growth as one of the country’s most pressing issues.

On the same day, the ABS released population statistics which showed Victoria’s population grew by 97,500 people in the year to March – a growth rate of 1.7 per cent and the highest in the country. 

“Melbourne’s population is currently sitting at about 4.4 million and Sydney’s is 5 million, but significant growth is coming over a relatively short period – with Melbourne set to overtake Sydney as Australia’s biggest city by 2056,” Mr Hirst said.

“And both cities will be home to more than 8 million people.”

These projections called into question the ‘liveability’ of our major cities the bank chief said.

“A more sustainable and balanced approach to population distribution should be planned for,” he said.

Mr Hirst said Bendigo and other regional Victorian cities already possessed many of the characteristics of a liveable city, but needed to ensure they remained connected via infrastructure and technology.

“We should not underestimate the important role the NBN could play in transforming regional economies, be it by driving new business opportunities or revolutionising the way we receive and deliver services like healthcare, education and even banking,” he said.

However, Mr Hirst said many regional and rural communities currently lacked investment needed to address economic restructuring.

“This under investment has impacted regional people, businesses and local governments, making it difficult to break the cycle and make the changes needed to prepare for the decades to come,” he said.

Mr Hirst pointed to work done by CEDA’s Steven Callendar which estimated the pool of money in Australian Superannuation funds at about $1.5 trillion.

“If even just a fraction of this capital could be used in more innovative ways that supported regional community development and entrepreneurs, it could have a significant impact on economic growth,” he said.