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Bridging infrastructure gaps: Has the world made progress?

Back to Fixing housing and construction

Bridging infrastructure gaps: Has the world made progress?

Today, the world invests nearly 14 percent of global GDP in infrastructure and real estate, but more is needed. This new research conducted with McKinsey’s Capital Projects and Infrastructure Practice found that the world needs to spend an average of $3.7 trillion in the network infrastructure necessary to support economies— roads, railways, ports, airports, power, water, and telecoms—every year through 2035 in order to keep pace with projected GDP growth.

On a positive note, there are some signs of progress. Many G20 countries that cut back their spending on infrastructure during and after the global financial crisis seem to have realized that there is an investment imperative, and started to act on it.

Exhibit

The world needs to invest $3.7 trillion in economic infrastructure annually through 2035 to keep pace with projected growth.

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Bridging infrastructure
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