The need for private investment in Asian infrastructure has reached a critical level, with the funding deficit now estimated at US$1.4 trillion per year. However, despite growing levels of ‘dry powder’ and an appetite for infrastructure amongst investors seeking diversification, and inflation and interest rate protection, the funding gap remains. What is holding back institutional investors, private equity firms and investment funds from piling in to capitalise on the potentially lucrative returns of infrastructure? What steps can Governments and MDBs take to engage with potential investors, understand their preferences and tackle concerns around transparency, and legal and political governance? Where are the most attractive long-term opportunities in Asia, and what are the most effective structures to access them? As the requirement for private funding becomes ever more crucial is it time for project pipelines to be reanalysed from the investors’ perspective focusing on financial viability, risk allocation and the risk return profile when compared with other investment opportunities?
Introductory remarks: Colin Chen, Deputy General Manager, Structured Finance Department, Asian Investment Banking Division, The Bank of Tokyo-Mitsubishi UFJ, Ltd., a member of MUFG
Jin-Yong Cai, Partner, TPG
Boon Chin Hau, Senior Vice President and Head Asia & Emerging Markets Infrastructure, GIC
Martin Kimmig, Chief Risk Officer, Asian Infrastructure Investment Bank
Stuart Salt, Partner, Global Head of Project Finance, Linklaters
Moderator: Henny Sender, Chief International Finance Correspondent, Financial Times