It also covers the current state of procurement processes, approaches to risk allocation, the evolving role of environmental, social, and governance (ESG) considerations, and the inevitable transition to digitalisation.
Key Challenges Facing the Industry
High interest rates (46%), access to funding (45%), and macro-economic uncertainties (31%) have been identified as the leading challenges by respondents in the Transport Infrastructure Outlook 2025 report. ESG was also considered an important factor – notably, EMEA (38%) was more focused on sustainability than any other region.
Growth of Transport Infrastructure in Europe and Africa
In line with this, 31% anticipate that Europe will see the greatest increase in transport infrastructure project activity in the next 2 years, joining Africa. These regions follow Asia-Pacific, where over half (54%) agreed that this region will see the greatest increase.
Justin Smith, Managing Director at Ansarada, said: “Despite macro challenges, Europe and EMEA have demonstrated industry growth, proving their resilience in adverse conditions.”
Digitalisation: A Game Changer for Procurement Processes
As the industry digitalises, almost three-quarters (73%) of respondents, including 69% of government agencies, agree that they are open to adopting new technologies to some extent. However, a deeper dive reveals a gap in enthusiasm, with 43% of privately-owned transport infrastructure developers strongly agreeing they are open to adopting new technologies to improve procurement processes, compared to just 20% of government agencies expressing the same level of confidence.
Tom Carey, Partner, Infrastructure and Capital Projects at EY Ireland, said: “Digital tools are essential to streamlining procurement processes, ensuring transparency, and reducing inefficiencies. Many existing systems rely on outdated methods like spreadsheets and emails, which are error-prone and slow. Digital platforms centralize workflows, improve compliance, and provide robust auditability. Adoption has been slower in some regions, but as workloads increase and complexity grows, these tools will become indispensable for managing infrastructure projects.”
Emerging Technologies Shaping Transport Infrastructure
The Internet of Things (IoT) (66%), machine learning and big data (59%), and analytics (56%) were cited as technologies that have the greatest potential to transform the provision and maintenance of transport infrastructure.
Automation and Digitalisation Gaps in EMEA
However, 52% of EMEA respondents reported high levels of automation across their procurement processes, suggesting almost half are not capitalising on this opportunity, while 37% agree that budget constraints are the key challenge to digitalising the procurement process.
Smith commented on the importance of digitalisation to help manage transport infrastructure challenges and drive industry growth. He said: “Digitalisation is no longer optional. Despite growing project complexity and regulatory scrutiny, many teams still rely on manual, outdated methods of managing procurement projects. By centralising communication, automating workflows, and providing real-time oversight, purpose-built platforms offer a more efficient and secure way to manage the process from start to finish. Ultimately, this increases the probability of projects being delivered on time and within budget.”
