ARE WE THERE YET?

The world needs more infrastructure in order to continue to grow and progress as it is continually expanding,  but the question is how and who will it pay for it. As far as investment goes examples such as building 3 prisons in France to building energy pipelines in Texas as unaesthetically pleasing as it may sound these investments are vital for economic growth. However, financing infrastructure is becoming out of favour with the banks and with the banks out of the question it leaves a huge gap that needs to be filled. Other investors maybe? 

With banks becoming more and more wary of dishing out long-term loans as freely as they used to it applies more pressure on the investors financing the infrastructure to use more of their own money. The major downside to all of this is that less infrastructure will take place as finances get tighter, this means that the gap between the amount that is being invested in infrastructure and the amount that ought to be invested is getting wider and wider. At this rate consultants at McKinsey have estimated that it will cost $57 trillion between now and 2030 to build and maintain the world's roads, power plants and pipelines.

Some countries such as China are able to pay outright for the materials needed to be built. On the other hand private investors (such as telecom firms) are resorting to forms of financing which has not been seen since the days of the financial crisis. Desperate times call for desperate measures, and with shortages of suitable projects investors will be using every trick in the book especially with the shortage of funds from banks but with careful planning and some luck it could result in a lot more infrastructure than they crave.