IRFA Conference 2025: Why REIPPPP succeeds where others fail

Looking back at the IRFA Conference 2025, where Iqeraam Petersen and I presented on infrastructure partnerships, the data tells a sobering story about what's actually bankable. We've just presented this framework to a client again, reinforcing how relevant these principles remain. Everyone talks about South Africa's R2+ trillion infrastructure pipeline as if it represents genuine investment opportunities for retirement funds. While initiatives like Project Vulindela 2.0 and Infrastructure South Africa are making genuine progress, the reality is many infrastructure projects still fail basic bankability requirements. We showed how REIPPPP succeeded with R250bn deployed across 123 projects and zero defaults over 13+ years. Why did it work when so many infrastructure programmes struggle? Because it systematically addressed all nine bankability requirements that funders need to see: regulatory certainty, policy alignment across government departments, robust legal agreements, proper risk sharing, and certainty of cashflows, amongst others. Many infrastructure projects in the current pipeline fail these basic tests. Without these fundamentals, projects simply aren't bankable for institutional investors with fiduciary responsibilities. The difference between REIPPPP and typical infrastructure proposals isn't just about sector or technology - it's about systematic structuring that addresses investor concerns. Elements like clear regulatory frameworks, standardised project agreements, and appropriate risk allocation were part of a comprehensive approach that covered all the fundamentals. For investment managers evaluating infrastructure opportunities, apply rigorous bankability criteria. Ask whether all nine requirements are genuinely met, not just promised. The infrastructure opportunity is real, but distinguishing between viable deals and wishful thinking requires frameworks that separate successful programmes from projects that never reach financial close. #IRFA2025 #InfrastructureFinance #Bankability #REIPPPP #RetirementFunds #ProjectFinance #SouthAfrica #DevelopmentFinance #InfrastructureInvestment #Futuregrowth #Alternatives

To view or add a comment, sign in

Explore content categories