Land sales will be accelerated with a $50 million injection into the agency in charge of releasing suburban blocks, the government says.
The Suburban Land Agency will receive the one-off boost with Chief Minister Andrew Barr saying more housing had to be provided.
Mr Barr said the government would err on the side of a land oversupply.
The agency will be responsible for developing a program of extra housing supply in the next territory budget, set to be handed down in June.
"We need to supply more housing. I think there's a consensus around that. We will need to release more land for sale over the next four years," Mr Barr said.
Expected revenue from stamp duty is forecast to be $229 million in the territory's mid-year budget review, which was the same estimate in the 2023-24 budget.
In recent years, stamp duty has helped to boost the government's coffers.
However, commercial stamp duty has taken a hit with an expected $12 million decline.
Mr Barr said the territory's finances had been hit by a softening in the property market and by higher interest rates.
But he said he expected demand would increase when interest rates were cut and based on forecasts there were expected to be one or two cuts later in the year.
"The government recognises that any cut in interest rates will likely fuel more demand within the housing sector and that will require more housing supply," Mr Barr said.
The government has failed to meet its land release targets over recent years.
The current program forecasts the release of 16,935 properties over the five-year period. A majority of those, 13,620, will be multi unit with the remaining 3315 to be single dwellings.
Mr Barr said the agency was given the money to ensure it was able to make decisions about land release.
"Certainly one of the key reasons for providing that capital injection is to ensure that the agency has sufficient liquidity to be making the decisions on the program rollout as it needs to," he said.
The government is increasing supply even though the government is forecasting housing supply will outstrip population growth.
"The number of residential dwellings across the ACT's housing stock increased by 2.6 per cent through the year to the September quarter 2023," papers say.
"With population growth at 2.2 per cent through the year to the June quarter
"The government is forecasting housing supply to be greater than population growth," the papers said.
