Throughout human history, resources have been used for two main purposes: survival and sustainability. To survive each day, we need bread on our tables, homes to live in, and clothes to keep us warm. These basic needs drove humanity to evolve. For example, hunting turned into livestock breeding, and gathering developed into organized farming. Farms grew larger, reservoirs were constructed, and harvested crops were stored to sustain populations over longer periods. Small communities eventually formed towns, where marketplaces became central hubs for communication and trade. People built roads and railways to transport goods more efficiently. From ancient civilizations to modern societies, we've always invested heavily in infrastructure to create a better and more sustainable life.

At times, we dismantle old infrastructure to make room for improvements. However, today's infrastructure isn't always built with sustainability as its core goal. When people say third-world countries lack infrastructure, they're not just referring to farms or housing. They're pointing out the absence of hospitals for the sick, schools for education, and reliable transportation systems. When emerging economies announce plans to build new cities, it's often less about merely accommodating citizens and more about attracting businesses, entertainment venues, and sports facilities. Infrastructure today often seems designed to attract capital and economic activity as much as to improve the quality of life.

But what about global warming, polluted oceans, and the urgent need for clean energy to support our increasingly technology-driven world? There's already a wealth of information outlining the existential threats to human survival and our planet’s health. Infrastructure intended solely to improve living standards must come second to securing basic human survival. Ironically, despite universal awareness of these threats, we still see insufficient capital flowing into critical areas like renewable energy, biodegradable materials, or innovative vaccines against new viruses. Instead, we continue investing in and operating systems that exacerbate these very threats. Isn’t that ironic?

Historically, clean energy and welfare-focused infrastructure, such as schools and public transportation, have only gained significant momentum when governments offered substantial subsidies. Without generous subsidies, private companies have often avoided investing in these vital areas. Relying on government subsidies is not necessarily problematic, as public funding is crucial to launching projects that might not initially generate substantial profits.

However, it's equally important to focus on making necessary infrastructure economically attractive for private investors. Subsidies alone aren't enough to ensure long-term, sustainable development. We must develop clear economic frameworks and business models so projects related to clean energy, healthcare, education, and public transportation become profitable ventures in their own right. When infrastructure is profitable independently, it naturally attracts more private capital, greatly accelerating progress.

Traditionally, the financial sector’s goal has been to find immediate profit opportunities and exploit them. Banks, investment funds, and private investors have typically focused on efficiency, arbitrage, and short-term returns. However, the financial sector now needs to evolve and take a more active role in shaping society. Financial institutions should aim to structure markets in ways that turn essential sustainable infrastructure into profitable, viable investments. This means banks, private equity, venture capital, and other financial institutions need to rethink their strategies. They should actively build financial environments where investments in sustainability become rewarding both morally and financially.

So why is sustainable infrastructure development progressing so slowly? Two reasons stand out. First, it’s hard for us to recognize the full consequences of environmental damage because the immediate impacts often seem manageable or distant. A slightly hotter summer or more frequent storms feel tolerable in the short term. Oil companies and factories rarely bear the immediate brunt of climate change; instead, the early warning signs appear as sinking islands or threatened wildlife, such as polar bears. By the time the signals become too alarming to ignore, it might already be too late to reverse the damage.

Second, and perhaps more significantly, our economic systems still heavily favor short-term profits over long-term sustainability. If short-term financial gains remain our primary motivation, infrastructure will naturally prioritize immediate returns over lasting environmental stability. Thus, reshaping our financial incentives to align immediate profitability with long-term sustainability is essential.

Ultimately, investing in sustainable infrastructure isn't just an ethical choice; it's a necessary financial strategy for humanity's survival and prosperity. The financial sector must shoulder greater responsibility by strategically channeling private capital toward projects that deliver both profitability and planetary sustainability. This holistic approach, where infrastructure projects are profitable, socially beneficial, and environmentally responsible, is the only meaningful way forward.

Best,

Bosung