Why infrastructure isn’t funded by the community…and why it should be
We outlined in some of our earlier articles how infrastructure is currently funded. To recap, this is normally done, if through the private sector, via strategic investor/operators together with large institutional investors, whether they are infrastructure funds, with institutions as limited partners “LPs” or pension funds and other institutions making direct investments into single assets.
Critically, each infrastructure asset is likely to come with significant capital cost, requiring a large cheque for the investor and a willingness to hold the asset with limited or no liquidity for several years or more.
Up to now there hasn’t been an alternative to the institutional market in terms of funding large infrastructure projects.
This has led to numerous constraints, including:
Find the rest of this post here at Allinfra.com
