The Infrastructure Investor Podcast

What's driving Asia-Pacific's infra markets?

2025-11-13 · 17:00 UTC ·PEI Group ·1 min read

Brief

Asia-Pacific infrastructure markets are being pulled in different directions by AI-led digital infrastructure demand, shifting geopolitics, and uneven country-level policy environments. Daniel Kemp and Tom Taylor highlighted strong enthusiasm for data centres across Southeast Asia and developing markets, but contrasted that with Australia’s tax-policy friction and slower renewables momentum, while noting Japan’s investor base is becoming more sophisticated through more direct LP commitments.

Why it matters

Daniel Kemp and Tom Taylor said AI and digital infrastructure were the dominant investment theme across Asia-Pacific in 2025, with data-centre demand driving infrastructure capital into both developing markets and Southeast Asia.

Key details

  • The speakers identified Australia as facing two notable headwinds: foreign-investor frustration over new tax rules and stagnation in renewables investment.
  • Kemp and Taylor said Japan’s infrastructure investor base is maturing, with LPs increasingly making direct fund commitments, while geopolitics and relationship-driven capital are shaping dealmaking across the region.
Source evidence

title: What's driving Asia-Pacific's infra markets?
author: PEI Group
contenttype: podcast
publication: The Infrastructure Investor Podcast
published: 2025-11-13T17:00:00+00:00
sourceurl: https://infrastructureinvestorpodcast.podbean.com/e/whats-driving-asia-pacifics-infra-markets/

word_count: 118

In this episode, Daniel Kemp, APAC editor, private markets, for PEI Group and APAC real assets reporter Tom Taylor reflect on our recent Infrastructure Investor Network Australia Forum, in Melbourne, and other Asia-Pacific events held this year. The discussion covers a wide range of topics, including how geopolitics is shaping investment decisions across the region; AI and digital infrastructure’s thematic dominance, with massive demand for data centres driving investment not only in developing markets but also in Southeast Asia; the headwinds Australia is facing, with foreign investor frustration over new tax rules, and renewables stagnation; the maturation of Japan’s investor base, with LPs starting to make more direct fund commitments; the importance of relationship-driven capital, and much more.