Understanding Project Financing Risks and Mitigation Strategies
Project financing is one of the most favored methods of financing large-scale infrastructure projects. It generally involves lenders providing loans or issuing bonds, which are backed by the projected cash flows of the project being financed. However, with any investment, there are risks involved. Stakeholders in such projects need to understand these risks and develop mitigation strategies to minimize their impact. This blog post will discuss some common project financing risks and provide insights into effective risk management.