With increased demand for integration of environmental,
social and governance considerations into financial strategies, the
expected upturn in spending on sectors that lay practically dormant
due to the pandemic (i.e. travel), a positive outlook for project
finance and the likelihood of rising interest rates, we look ahead
to the rest of 2022 and share some of our key predictions for
banking and finance.
Real estate development finance
We expect 2022 will be another busy year for development
financing, across all classes. Build-to-rent and residential
development, particularly land subdivision, are likely to drive
deal volumes and headlines for the short to medium term. Banks
continue to chase senior debt deals that are within bank tolerances
and major non-bank lenders report strong inflows and transaction
volumes across the capital spectrum.