The water market including clean water supply, waste-water treatment/reuse, and non-revenue water solutions offers an appealing investment target in South East Asia, Africa and Middle East. When approaching potential investments in these markets, consider the actual water need in-country.
Then consider how to balance regulatory risks, project cycle risks and the shifting needs of local communities when they look at water resource management.
Example in Practice
We recently helped an Infrastructure Investment Fund which was interested in raising a fund focused on Emerging Markets water projects to investigate six markets in SEA, Middle East and Africa.
We looked at micro-economic data, water availability and wastage, regulatory reviews and guidelines and the overall investment climate. We then balanced this against more than 30 phone and in-person interviews with developers, equipment suppliers and EPCs active in these markets.
Each week we provided updates to the client on each country, findings, potential projects, risks and an overall rating. By the end of the six-week project, the client had 5 potential development partners and 6 different potential investments to consider.
We completed the project with a 10-page report overviewing the market, each country situation and our recommendations based on the data compiled.