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Infrastructure Strategic Outlook H2 2025: Half-Year Market Update

Alternatives
Infrastructure

21/7/2025

The Infrastructure Strategic Outlook reflects the DWS Infrastructure Research team's opinions of the various aspects of Infrastructure markets. This information represents our theoretical views on Infrastructure markets globally and do not intend to comment on any DWS products or strategies or serve as investment advice, a recommendation, an offer or solicitation.

Richard Marshall

Head of Infrastructure Research

Infrastructure Strategic Outlook

The Infrastructure Strategic Outlook H2 2025 report offers a detailed analysis of the current state and future prospects of the global infrastructure market. Despite ongoing global trade tensions and policy uncertainties, the infrastructure sector has shown remarkable resilience. Europe, in particular, stands out as a region of stability and opportunity, bolstered by , robust policy momentum, and strong investor interest. The report highlights that infrastructure continues to deliver strong long-term returns, with full-year 2024 figures largely confirming the asset class has weathered recent years of well. 

The report also discusses the gradual recovery in transaction activity within the infrastructure market in 2025, following a subdued 2024. Valuation confidence is improving, driven by stabilizing multiples, with data centers leading deal flow and comprising nearly 14% of transaction value. Policy support, including Germany’s EUR500bn fund and EU initiatives, is attracting capital to strategic sectors like clean energy and digital infrastructure. The report underscores the importance of infrastructure's ability to offer risk mitigation from slower economic growth, which will be crucial for the remainder of 2025 and into 2026. 

In terms of investment outlook, the report emphasizes the attractiveness of the European infrastructure market due to its relative insulation from tariff impacts and strong policy support. The EU Competitiveness Compass, Clean Industrial Deal and the InvestAI programme are among the initiatives aimed at improving the business environment and supporting decarbonization and the digital economy. The report also notes that the German government has committed to a EUR500bn infrastructure fund, including EUR100bn earmarked for climate-related projects. These measures are expected to stimulate broader economic activity and support private capital in the infrastructure market.

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Infrastructure Strategic Outlook H2 2025: Half-Year Market Update
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