Project funding as an alternative way to attract investment in the construction industry

Abstract

The article deals with the problem of attracting investment in the construction industry through the use of project funding. Project funding for construction is a new scheme for financing large investment projects, which is provided by banks, but it is not lending, but investment. Project funding assumes that the developer will attract funds for construction from the investor bank. And the investor has the right to control the expenditure of the provided funds, thus reducing the risk of their misuse and the appearance of long-term construction. Using project funding as an alternative way to attract investment will help clear the market of fraudulent companies and developers with financial problems. This new method of attracting investment has not yet been widely used in the domestic construction industry, but it is gradually becoming more attractive.