Kentucky banks launch P3 fund

Six Kentucky-based banks have launched a new infrastructure fund to support the development of P3 projects.

The institutions launching the $150m Commonwealth Infrastructure Fund (CIF) include Central Bank & Trust, Commonwealth Bank & Trust, Kentucky Bank, Stock Yards Bank & Trust, Traditional Bank and United Bank & Capital Trust.

The private fund has been established to provide debt financing to private-sector firms participating in public infrastructure projects at both the state and local levels. The fund will be managed by John R. Farris, founder of Commonwealth Economics.

The fund will provide debt financing critically needed at both the state and local levels for projects such as the repair and replacement of roads and bridges, water and sewer systems, and social infrastructure projects.

“Kentucky’s community banks are the first in the nation to launch such a fund that will help finance public-private infrastructure projects through local banks.  We recognize the immense value for our state in pooling our resources to help move these critical P3 projects forward,” said William Alverson, CEO, Traditional Bank.