33. The Organisation for Economic Co-operation and Development9 (OECD) estimates that infrastructure investment needs to be $71 trillion by 2030 across the globe. In the past 12 months KPMG has undertaken two global surveys on infrastructure.10, 11 The message coming out of those surveys is loud and clear. On the one hand, only a small minority of all senior executives believe that current infrastructure is "completely adequate" in supporting their businesses. On the other hand, the providers of infrastructure are the most concerned about governmental effectiveness inhibiting the delivery of required infrastructure.
34. Going forward, governments are likely to be more indebted and have less ability to borrow, whereas institutional investors have more funds and are likely to be interested in investing in assets such as infrastructure, as they provide the returns that mach their long term liabilities. In short, there is a great demand for infrastructure, but concerns over governments' ability to deliver and finance it. We believe the private sector will be able to respond to both challenges.
Timothy Stone, Chairman, Global Infrastructure
25 September 2009
________________________________________________________________________________________________
9 OECD (2007) Infrastructure to 2030 (Volume 2).
10 KPMG (2009) Bridging the Global Infrastructure Gap: Views from the Executive Suite.
11 KPMG (2009) The Changing Face of Infrastructure: Frontline Views from Private Sector Infrastructure Providers.