Time flies with great content! Renew in to keep enjoying all our premium content.
Prime
Why caution is need as pension funds step into PPP space
While mobilising local capital for essential public infrastructure is a positive step in reducing over reliance on external debt, it also exposes retirement funds to a range of risks that must be carefully weighed.
Infrastructure is increasingly being positioned as a strategic investment class for long-term institutional investors across the world. For pension funds, the allure is understandable as well-structured projects like roads, ports, and energy grids promise stable, long-term cash flows that align well with the long-term liabilities of the fund.
However, while the promise of infrastructure is compelling, the reality, especially in emerging markets like Kenya, demands a cautious and informed approach.
