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Demographic Shifts Shape Spending

Changing demographics, including aging populations and youth bulges, are influencing the type of infrastructure needed.

Detailed Analysis

Demographic shifts are playing a crucial role in shaping infrastructure investment priorities. Aging populations in developed countries like Western Europe and Japan are increasing the demand for healthcare facilities and elderly care services. Conversely, rapidly growing youth populations in many emerging markets are driving the need for more schools and educational infrastructure. The report states, "Demographic changes will vary by region and country, affecting both the amount and type of infrastructure spending." This trend underscores the need for a more nuanced approach to infrastructure planning, taking into account the specific demographic characteristics of each region or country.

Context Signals

360 million older workers are projected to leave the workforce by 2050. Emerging markets are experiencing rapid population growth, particularly in younger age groups. Developed countries are facing the challenges of aging populations and declining birth rates.

Edge

The growing demand for elderly care services will create opportunities for businesses in the healthcare and senior living sectors. The need for educational infrastructure in emerging markets will attract investment in schools and training facilities. Demographic shifts will influence urban planning and the development of age-friendly cities.
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TRENDS
Aging populations in Western Europe and Japan, for instance, will require additional healthcare facilities, while countries in Sub-Saharan Africa, the Middle East, and many parts of Asia-Pacific will need more schools for their youth.