On April 5, 2023, the Infrastructure Investor quoted Paul Levin regarding the impact of inflation on the Infrastructure Investment and Jobs Act.
According to the article, the Infrastructure Investment and Jobs Act has funded thousands of projects in the U.S. However, the progress has slowed down mostly because of supply chain issues and inflation, which as of February of this year stood at 6.4 percent in the U.S.
Commenting on how private and public players can circumvent the macroeconomic challenges, Levin said, “some public leaders have been in the private sector and understand the need [to prioritize payments in PPP models in order to bring down the cost of debt for their private partners] and are willing to focus on trade-off a little bit more – and then you get the opposite, to some extent,” said Levin. He continued: “To me, [today’s macro] problems really show the value of being able to do a PPP, to have a private partner that can absorb some of the risk if there is a delivery [delay] or if there are cost increases, rather than leaving that risk with a public agency.”
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