An Overview of Project Finance and Infrastructure Finance--2009 Update Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Provides an introduction to project finance and infrastructure, and provides a statistical overview of the project-financed investments from 2005 to 2009. Examples of projects funded investments include $ 1.4 billion Mozal aluminum smelter in Mozambique, $ 4 billion Chad-Cameroon pipeline, $ 6 billion Iridium global satellite communications 900 000 000 A2 toll road in Poland, the $ 20 billion Sakhalin II gas field in Russia and $ 28 billion Dabhol power project. Companies around the world are funded $ 240 million of capital expenditures of project financing in 2009, compared with $ 409 billion in 2008, as the financial crisis hit the western markets. The use of project financing increased by compound rate of 0% for the last five years, 4% for the last 10 years, and 12% over the past 15 years. This note focuses primarily on private sector investment in industrial and infrastructure projects, and consists of four sections. The first section defines project finance and contrasts it with other known mechanisms of financing. The second section describes the evolution of project finance from its beginnings in the natural resources in the 1970s in the U.S. industrial power in the 1980s, to a much wider range of industrial applications and geographic locations in the 1990s, and more recently to the infrastructure financing in the 2000s. The third section provides a statistical overview of the project financed investments in the last five years (2005 to 2009), and looks at the industry, projects and members of specific data. The third section also contains the latest information on investments in infrastructure and public-private partnerships. The final section discusses the current and possible future trends. "Hide
by Benjamin C. Esty, Aldo Sesia 39 pages. Publication Date: June 21, 2010. Prod. #: 210061-PDF-ENG