Key themes for 2021

The infrastructure sector looks to have weathered the COVID-19 crisis reasonably well. While certain sub-sectors were severely impacted, 1Q20 valuations for the sector were more resilient than other alternative asset classes and infrastructure companies saw fewer downgrades and defaults than their equivalent corporates. With a vaccine in sight, policy makers will continue to focus on how to support the economy in the interim, while fiscal stimulus looks like an attractive proposition. Government spending is likely to be directed towards supporting jobs while also investing in healthcare, decarbonization and digital infrastructure, potentially providing a boon for infrastructure investors.