If the government investment is teamed with private investment, the approximate $180 billion of dedicated capital currently available for global infrastructure projects can create up to $450 billion for investment in the U.S. infrastructure market.
This would create 2 million jobs in infrastructure alone, which could create jobs for 17 percent of those currently without employment. The benefits of private investment must be considered along with the stimulus package, infrastructure bank, and SAFETEA-LU.
"Public-private partnerships (P3) are about leasing assets to maximize taxpayer value while government retains ownership of the asset. Among other state and local governments, the State of Indiana and the City of Chicago have successfully demonstrated how to achieve value and accelerate job growth through bipartisan P3 solutions," said Rob Collins, Managing Director and Head of Infrastructure Banking at Morgan Stanley.
"We see strong public oversight and private investment as a unique opportunity to bring government and business together and partner to create solutions and quicken the road to a stronger economy," said Jim Courtovich, Managing Partner of Kearsarge Global Advisors. "First, political leaders have to make the decision to be competitive for this $180 Bn of private capital, and once that is done, there are many ways to deploy these dollars."
