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Analysis of the Capital Structure in Sustainable Infrastructure Systems: A Methodological Approach

Author

Listed:
  • Juan David González-Ruiz

    (Grupo de Investigación en Finanzas y Sostenibilidad, Departamento de Economía, Universidad Nacional de Colombia, Sede Medellín, Medellín 050034, Colombia)

  • Sergio Botero-Botero

    (Departamento de Ingeniería de la Organización, Facultad de Minas, Universidad Nacional de Colombia, Sede Medellín, Medellín 050034, Colombia)

  • Alejandro Peña

    (Grupo de Investigación en Información y Gestión, Escuela de Administración, Universidad EAFIT, Medellín 050022, Colombia)

Abstract

Many countries require financial mechanisms, leading to increasing coverage through sustainable infrastructure systems (SISs). However, establishing such mechanisms demands innovative approaches and analyses that contribute to the development of financial schemes by providing a new vision for private investors and public entities promoting sustainable development and, therefore, the creation of new eco-financial assets. To address this need, this paper proposes a methodology for analyzing capital structure in sustainable infrastructure systems, which is validated in a case study. Thus, a mathematical model that identifies the impact on the final capital structure according to an investment plan and capital structures per period is developed. Additionally, this proposal integrates a financial framework that involves sustainable financing, capital markets, and public–private sectors. The results of the case study show that debt-service capacity was always higher than 1.0×. Hence, this study provides a better understanding of financing processes for SISs. Additionally, this contributes to the debate on infrastructure financing and its implications for main stakeholders.

Suggested Citation

  • Juan David González-Ruiz & Sergio Botero-Botero & Alejandro Peña, 2022. "Analysis of the Capital Structure in Sustainable Infrastructure Systems: A Methodological Approach," Sustainability, MDPI, vol. 14(19), pages 1-21, October.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:19:p:12662-:d:933970
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    References listed on IDEAS

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    Cited by:

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