Bank of America launched an initiative making $250 billion available to finance critical infrastructure nationwide in honor of the country’s 250th anniversary.
The Critical Infrastructure Finance Initiative aims to strengthen and modernize American infrastructure across the digital, energy and power and transportation sectors while accelerating technological leadership and job growth, according to a company press release.
“We are proud of our long history supporting the American economy. As America marks its 250th year, this initiative reflects our confidence in the country’s future and the investments that will shape it,” said Jim DeMare, co-president of Bank of America. “The infrastructure that powers our economy, strengthens our energy security and secures our technological leadership will drive growth, create jobs and define America’s next chapter.”
The funds will be made available through financing, investment and advisory solutions and will deploy over 18 months, through July 4, 2027.
The company launched the program in response to a surge in demand for computing power, energy, manufacturing capacity, modern transportation systems and diversified supply chains highlighting a need for increased infrastructure investment across the county.
"Meeting America's growing infrastructure needs requires mobilizing capital at scale across increasingly interconnected sectors," said Karen Fang, Global Head of Infrastructure & Sustainable Finance and Co-Head of Global Capital Solutions at Bank of America. "Delivering these projects requires integrated financing solutions spanning corporate and project-level capital in both public and private markets. By bringing together capital providers, developers, corporations and investors, we are focused on helping accelerate investment in infrastructure that drives economic growth and creates lasting value for communities."
Transportation Infrastructure Investment
Transportation infrastructure will be funded through the category of core infrastructure, which is one of three areas the program will support by providing primary market lending, investing, capital markets, banking and advisory solutions, the press release states.
According to Bank of America, the investment round will create tens of thousands of jobs, as infrastructure financing fuels job creations across multiple sectors including construction.
Investing in infrastructure also supports workforce development, as a highly skilled workforce is necessary to maintain and build transportation infrastructure. In addition to job creation, Bank of America provides workforce development through longstanding training, education and career pathway programs that “connect people to the skills and jobs these projects create.”
The initiative will be led by Bank of America’s Global Capital Solutions and Global Infrastructure & Sustainable Finance teams, with support from all eight of the company’s business lines. The bank will provide financing, investment, advisory and supply chain services for corporate and individual projects across public and private markets.
Source: Bank of America
