Are insurers the new banks for infrastructure investments?

Building new bridges – are insurers the new banks for infrastructure investments?, by Patrick Maeder / Partner Insurance, BearingPoint and Daniel Berger / Director Insurance, BearingPoint

The dynamics of the infrastructure investment landscape in Europe are fundamentally changing. As banks increasingly feel the pinch of capital constraints and tightening regulations such as Basel III, governments are drastically cutting infrastructure funding. Both are now increasingly reticent about providing financing for long-term infrastructure projects.

The result is a potential funding gap across the European infrastructure sector. Amongst other institutional investors, insurance companies have expressed an interest in filling the void – potentially becoming asset managers in their own right and triggering a massive flow of capital into the European infrastructure market.

Could insurers rescue the market of infrastructure investment? Based on a comprehensive survey and extensive interviews, this paper looks at options open to insurers and how they can make the most of the opportunity that infrastructure investment presents.

For further information, see our press release.