The NSW unemployment rate is forecast to ease from 5.75 per cent during 2015-16 to 5.5 per cent by the June quarter of 2017.

"We are well-placed to take advantage of the national transition back away from mining investment and towards services over the next few years," Ms Berejiklian said.

"While other states like Victoria cancel major infrastructure projects, the significant number and size of the projects underway in New South Wales and in the pipeline are creating jobs for people in our communities across Sydney and the regions."

On Sunday the government announced an extra $400 million in windfall tax revenue will be tipped into a fund to provide water, electricity, roads and other infrastructure to accelerate construction of new housing to help tackle the Sydney affordability crisis.

Premier Mike Baird has announced the money will be in next Tuesday's budget as the government books more than $5 billion in residential stamp duty revenue this financial year from the booming Sydney property market.