Infrastructure Revolution: CEOs Optimistic About Growth Amid ESG Challenges

A KPMG report discusses the impending massive infrastructure programs in India and the optimistic growth outlook of global infrastructure CEOs over the coming years. It highlights challenges in adapting to ESG expectations and the role of businesses in addressing societal issues amid declining trust in governments.

A recent KPMG report spotlights India's ambitious plans for one of the largest 21st-century infrastructure initiatives among major economies. The challenge lies in generating fiscal capital sources to drive this venture.

The 'KPMG 2024 Infrastructure and Transport CEO Outlook' report, revealing insights from 120 global infrastructure leaders, suggests anticipated business growth in both earnings and workforce over the next three years.

However, it also identifies significant hurdles, such as rapidly changing ESG expectations and concerns over climate-change adaptation impacting growth. A notable 71% of CEOs are prepared to divest profitable units if they harm reputational standing, while businesses are increasingly seen as pivotal in tackling societal challenges due to eroding public trust in governments.

(With inputs from agencies.)