Overview of Project Finance and Infrastructure Finance—2006 Update Case Solution

Provides an introduction to the fields of project financing and infrastructure financing, and provides a statistical overview of 2002-2006 investments in the years funded project. Examples of investments financed by the project include Chad-Cameroon $ 6,000,000,000 $ 4000000000 Iridium satellite system, the A2 toll in Poland 1.4 billion $ 900 million dollar Mozal aluminum smelter in Mozambique and 20 billion dollars Sakhalin gas field II in Russia. In general, firms financed $ 328 billion of capital expenditure by financing projects in 2006, an increase of $ 217 billion in 2001. The use of project finance has grown at a compound rate of 13% in the last 10 years. It mainly focuses on private sector investment in industrial and infrastructure projects, and contains four sections. The first part defines project finance and contrasts with other known mechanisms of financing. The second part describes the evolution of the financing of the project from its inception in the natural resources industry in the 1970s, the energy industry in the United States in the 1980s, a wider range of industrial applications, and geography in the 1990s to finance infrastructure in 2000. The third section provides a statistical overview of the investment project funded in the last five years (2002-2006), and looks at the specific industry participants, and project data. It also provides recent data on infrastructure investment and public-private partnerships. The final section discusses current and likely future trends.
by
Benjamin C. Esty,
Aldo Sesia
35 pages.
Date Posted: April 12, 2007. Prod #: 207107-PDF-ENG
Overview of Project Finance and Infrastructure Finance Case Solution — 2006 update

Overview of Project Finance and Infrastructure Finance—2006 Update Case Solution
Share This