Recently there has been an investment paradigm shift taking place on a global scale where institutional investors are beginning to diversify away from their traditional asset classes into alternative asset classes. Infrastructure is one such asset class that is attracting significant interest.
To take advantage of this phenomenon, Deloitte is able to act as an International Fund Manager’s African representative to source, screen, evaluate and where appropriate, submit various proposed projects for inclusion in a fund managers’ portfolio where a proposed project meets the prescribed investment criteria and is in line with their broader investment mandate.
If a proposed project passes their investment process and is to be included in their portfolio, the fund manager will enlist Deloitte to manage and/or monitor the entire project development process from the inception phase through to completion.
Deloitte has built up considerable experience over the years and in turn established credible working relationships with a number of major donor agencies, NGOs, CBOs and FBOs globally. We are thus able to provide a transparent, reliable and accountable project as well as a donor fund and grant management service.
Our value proposition, which includes experience, integrity, expertise, extensive footprint, process, approach and methodology allows for the creation and implementation of a practical end-to-end solution.
Donor fund advisory services
By effectively leveraging off Deloitte’s expertise and experience we are able to provide tailored non-Audit Assurance Advisory solutions for our clients, as follows:
Infrastructure shared services into Africa
Alternative Renewable Energy Funding & Project Monitoring
With the vast amount of capital required to fund infrastructure-related projects on the continent, access to traditional bank project finance is becoming more difficult on both an equity and debt basis. The implementation of Basel III is forcing banks to increase their capital holdings against project finance exposures. This coupled with the fact that many banks already have significant balance sheet exposure to Renewable Energy Projects, will only lead to increased funding costs which will ultimately drive project IRR’s lower.
By tapping the institutional investor market, which is increasingly seeing infrastructure as an asset class in itself, access to more competitive funding is becoming more readily available.
In addition to playing a pioneering role in the alternative project financing arena, Deloitte Fund Advisory is able to offer other project related services to prospective clients enabling a bespoke turnkey solution. These include: