The first three months of 2020 in Australasia were bookended by two massive crises – huge bushfires in Australia and COVID-19. But some deals had already been struck. Shaun Drummond reports
Australia and New Zealand, like many parts of Asia outside China, have so far weathered the coronavirus maelstrom better than many of their Western counterparts.
But it is still early on in the crisis and infra investors in both countries are grappling with similar hits to income and cashflow smashing the global economy.
“No scenario planned for all the planes to stop flying,” notes one lender, echoing many.
In the infrastructure sector, airports – along with their customers, airlines – are perhaps the hardest hit. They had already been suffering from reduced travel due to one of the worst bushfire seasons Australia has ever seen. Then their income disappeared almost completely within weeks in March.