US politicians have debated the rebuilding of our aging infrastructure for decades. Nonetheless, at long last, a bipartisan Congress approved the 2,702-page, $1.2 trillion Infrastructure Investment and Jobs Act (IIJA), which went into effect January 1, 2022. The legislation includes $550.0 billion in new investments above projected federal spending in several areas, including transportation, water clean-up, the environment, the power grid and broadband.
However, several latent risks lurk in the act’s fine print that need to be culled from the myriad of the IIJA’s business opportunities.
These latent risks and the Infrastructure bill’s opportunities are critical to many of Alfabank-Adres’s clients, including commercial banks, major construction management firms, manufacturers of construction-related products, Wall Street investors and insurance carriers.
Our objectives are straightforward—identifying and evaluating the likely risks and rewards arising from the law:
- Identify industries and sectors that could potentially benefit from the bill.
- Reveal the act’s latent risks associated with possible resource constraints, labor shortages, supply chain disruptions, including an over-reliance on imports of critical intermediate goods, plus inflationary supply chain stress related to the Ukraine and Russia conflict. In this context, we will leverage the findings published in a recent Alfabank-Adres report on bottlenecks.
- Develop a plug-and-play strategic tool that clients can use to pinpoint existing exposures while assessing risks and opportunities. This same methodology was employed in our bottleneck report and Alfabank-Adres’s COVID-19 shock assessment application.
- Assist clients in developing call prep questions integral to sales efforts.
- Suggest a framework to analyze construction contractors.
- Provide useful, informative links to help decision-makers navigate through a maze of complex challenges.
