KKR Bets on Asia's Shifting Growth Drivers, Opens India Office Amid Infrastructure and Logistics Investment Push

Asia's competitive edge is no longer just cheap labor, but industrial services like logistics, waste management, and data centers. This draws both internal and external investment.

KKR sees opportunity for infrastructure and logistics investment in India, China, Southeast Asia, and Japan. About 20% of their balance sheet is in Asia.

In Japan, KKR sees automation/industrialization driving a capex cycle and corporate reforms boosting returns. They believe Japan is exiting deflation.

India is benefiting from public capital expenditure growth, export surge, and finally some infrastructure investment. KKR recently opened a new office there.

In China, KKR sees growth bottoming out. The digital economy and decarbonization are growing rapidly, offsetting real estate contraction. Competition is heightened globally.