The Government has signed off on a $250 million overdraft facility for the Transport Agency.
The provision made in last week's Budget is expected to help the agency spend the entire amount available to it each year in the National Land Transport Fund.
The Agency is meant to spend all the money in the fund each year - about $3 billion - but to avoid overspending it keeps back a portion as it juggles projects.
Transport Minister Steven Joyce says the overdraft facility will allow the agency to be more efficient and spend all the available funds.
The National Land Transport Fund pays for the likes of road policing, research, state highway projects and for a portion of local road construction and maintenance.