There is no question that the United States suffers from massive infrastructure challenges. These structural deficiencies are putting Americans at a competitive disadvantage.
Improvements to America's roads, airports, seaports and electric grid are clearly warranted. And they will help stimulate economic activity.
But how will we get there?
Our report, "Revitalizing America: Engaging civic capital for US infrastructure," explores the state of our infrastructure today. It surfaces ways policymakers might work together, and with multi-sector stakeholders, to address our most pressing needs.
A competitive disadvantage
We envision a multi-pronged approach for harvesting the growing capital in:
- sustainable investments
- environmental finance
- impact investing
- other investment communities around the globe
To effectively engage civic capital, an infrastructure program will need:
- clearly defined goals
- concrete deliverables
- effective measures of success
- tangible payoffs for investors
Government spending should:
- prioritize areas where social benefits far outweigh the available return on investment
- review current programs for opportunities to engage complementary private capital on existing projects.
Consider mechanisms for applying leverage to expand the impact of each dollar invested, such as:
- government guarantees
- tax preferences
- matched spending
What will an increased investment in US infrastructure mean?
Assessing the needs, establishing the priorities, and identifying the funding sources for future infrastructure projects are necessary but not sufficient steps for driving innovation, raising productivity and improving living conditions.
Elected officials, policymakers, business leaders, civic leaders and investors will need to work jointly in determining the most effective way of leveraging civic capital for optimum impact.
Together we can find an answer. Connect with your UBS Financial Advisor or find one.