The nascent digital infrastructure sector needs customers committed to long-term contracts, to de-risk new technology, and provide capital for new projects where governments can’t.
Investors ‘still need to partner with those managers investing in the right infrastructure’, a report from Foresight warns.
After lockdowns led to financial duress, S&P Global Ratings’ Trevor d’Olier-Lees and Dhaval Shah see an uncertain road to recovery.
It’s not just the 10% drop in renewables investment the IEA expects this year, but the double-digit drop in energy efficiency and the cumulative decline in capex spend on electricity grids in the past four years.
Long a favourite asset of infra investors, airports' risk profile suddenly changed with the onset of the coronavirus, suffering more than 90% drops in traffic in April.
Infrastructure assets are ‘particularly susceptible’ to community distrust and social licence should be considered at all stages of a project to combat this, says a report by think-tank Infrastructure Partnerships Australia.
Korean investors will seek to increase allocations to alternatives, including infra, three LPs say, though they expect activity to pick up in Q3 at the earliest.
Now, more than ever, digital infrastructure is vital for the world economy to grow. As a result, it represents a strong opportunity for investors, writes Joel Kranc.
Digital infrastructure was developing rapidly even before covid-19 forced the world into lockdown; now its importance is clear for all to see.
Mark Richards and Alexander Hadrill of Bryan Cave Leighton Paisner examine the impact of the coronavirus on private finance initiatives.