Building modern, sustainable, and reliable infrastructure is critical for meeting the rising aspirations of billions of people around the globe. Infrastructure investment helps raise economic growth rates, offers new economic opportunities, and facilitates investment in human capital. A significant increase in infrastructure investments in emerging market and developing economies is needed to sustainably achieve poverty reduction and shared prosperity, reach the Sustainable Development Goals, and tackle climate change. This is at the heart of the World Bank Group’s Maximizing Finance for Development approach.
The current numbers are stark: about 1.06 billion people live without electricity; 4.5 billion still lack access to safely managed sanitation
Public-private partnerships (PPPs) can be a tool to meet these needs for infrastructure services. When designed well and implemented in a balanced regulatory environment, PPPs can bring greater efficiency and sustainability to the provision of public services such as water, sanitation, energy, transport, telecommunications, healthcare, and education. PPPs can also allow for better allocation of risk between public and private entities.
Yet, much work is needed to make projects "investor ready" and to develop innovative frameworks to leverage private investment. According to the Bank Group’s Private Participation in Infrastructure Database, total investment in infrastructure in 2016 fell to US$71 billion, compared to US$121 billion on average during 2011-2015.
The World Bank Group is committed to helping governments make informed decisions about improving access and quality of infrastructure services, including—where appropriate—using PPPs as one delivery option. This approach is further enabled by working on strengthening data, building capacity, developing and testing tools, promoting disclosure, and encouraging engagement with all relevant stakeholders. Learn more here.
lastupdated: Apr 05, 2018