Twenty leading investors in infrastructure have agreed to form an association to further strengthen the engagement of infrastructure investors with governments and regulators globally. Collectively, these investors have over € 2.4 trillion of total assets under management, with approximately € 177 billion invested in infrastructure assets and plans to make significant additional investments in infrastructure.
This comes at a time when governments across the world are increasingly interested in exploring partnerships with private investors for the funding of their long term infrastructure investment plans. The association strives to facilitate the interaction between investors on the one hand and governments and regulators on the other, and calls for predictability with respect to actions by the public sector.
"There is a significant amount of private capital available for investment in infrastructure which could help to build out and maintain infrastructure at times of budget constraints, thereby supporting economic growth" said Lonneke Löwik, a spokesperson for the newly formed Global Infrastructure Investors Association ("GIIA"). "Through this new association we are creating an efficient way for the engagement between the private investment community and governments and regulators. We want to foster an understanding of the issues involved with private investments in infrastructure and to build strong relationships with policy makers and regulators to ensure that those investments are facilitated and help in meeting the infrastructure needs of economies across the world."
"Over the last two decades, infrastructure as an asset class has emerged from within alternative assets into its own distinct class. Private investors in this asset class are likely going to play a crucial role in the coming decades as existing infrastructure across the globe requires updating and new infrastructure is created. There is data on how consistent and fair policies encourage investment and other examples of what discourages investment. The association will also advocate best practices supported by data."
GIIA currently has 19 founding members: Alinda Capital Partners, Allianz Capital Partners, Antin Infrastructure Partners, APG Asset Management, Arcus Infrastructure Partners, Brookfield Infrastructure, CPP Investment Board, Deutsche Asset & Wealth Management, EISER Infrastructure Partners, Global Infrastructure Partners, Goldman Sachs Infrastructure Partners, IFC Asset Management Company, IFM Investors, Morgan Stanley Infrastructure, Ontario Teachers’ Pension Plan, PGGM, Prudential / InfraCapital, PSP Investments and 3i Investment.
GIIA is a global independent non-profit association sustained by membership fees. The role of GIIA is to be the representative body for equity investors in global infrastructure and those associated with the asset class. In accordance with the overall role of the Association, GIIA will strive (i) to be the public voice for equity investors in unlisted infrastructure investment and to build increased understanding of long-term infrastructure investment and the positive role of private investors, and (ii) to act as the industry’s advocate, engaging directly with governments, supra-national bodies and policy makers to develop and maintain supportive and stable regulatory environments and reduce barriers to investment.