Boosting infrastructure in Asean with 'patient capital'

THE crucial role infrastructure plays in socioeconomic progress is not difficult to understand. Inadequate sanitation, blackouts and traffic gridlock adversely affect the social well-being and economic development of a nation. The McKinsey Global Institute suggests that "a dollar of infrastructure investment can raise GDP by 20 cents in the long run by boosting productivity".

Some categorise infrastructure requirements along the lines of humanist psychologist Abraham Maslow's hierarchy of needs - beginning with basic infrastructure, including water and power plants and road networks, progressing to ports, airports and metros, and advancing to the likes of smart grids and autonomous vehicles.

Borrowing from that framework, much of the demand in developing economies of the Association of Southeast Asian Nations (Asean) relates to basic- to mid-level infrastructure developments, namely energy, sanitation, transportation and telecommunications - what some define as economic infrastructure…