Indonesia to Take Advantage of Investors Interest in Infrastructure

Global investment firms are pouring billions of dollars into infrastructure assets across Southeast Asia, triggered by prospects for growth in the infrastructure sector and stable long-term returns. The increased volume of mergers and acquisitions deals in the infrastructure market this year could make Southeast Asia a rare bright spot amid global market turmoils and rising interest rates.

Telecommunications operators, including the Philippines’ PLDT and operators in Indonesia, which face tight margins and piles of debt, have entered into sell-and-leaseback transactions for thousands of telecommunication towers. “Southeast Asia is a highly sought-after market, given its attractive growth prospects for infrastructure assets,” Ee-Ching Tay, Head of Investment Banking for Southeast Asia at Barclays, said in a statement to Marketscreener.