The South Asia Infrastructure for Growth Initiative (IFGI), the second partnership between AusAID and the South Asia Region of the World Bank was structured in the backdrop of the severe infrastructure deficit faced by South Asia.
The Partnership for South Asia (PFSA) is an Umbrella Trust Fund set up by the Commonwealth of Australia and the South Asia Region (SAR) of the World Bank to contribute to sustainable development and poverty reduction in the South Asia Region.
The PPP Risk Allocation Tool 2019 Edition is now open for consultation. Feedback provided through this process will inform the final version which will be released later this year.
The Guidance Note, developed by the GI Hub in collaboration with Cambridge Economic Policy Associates Limited (CEPA), identifies lessons learned from various existing NIBs in both emerging markets and high-income countries through 11 case studies which explore different NIBs that have existed from 1945.
Well-planned and prioritised infrastructure investment improves productivity, engenders competitiveness and contributes to long-term sustainable economic growth. Nevertheless, the extent of realising these benefits from infrastructure investment varies considerably across sectors, by regions and by level of regulatory and institutional maturity.
Communication throughout infrastructure project preparation should be recognised as a strategic activity. It should factor in the importance of all key stakeholder groups towards the project, tailor communicative actions to engage and inform them and foster a supportive environment.
Although Indonesia’s PPP regulations date back to 2005, initially the number of actual project transactions between the government and private sector was very limited. The private sector’s interest in Indonesian projects was constrained by three main factors; the low quality of project preparation, low financial feasibility of projects (particularly those related to the determination of tariffs) and uncertainty related to the political risk of projects.
India’s project preparation framework is steered by its line ministries and sub-national governments, who are adopting a streamlined and systematic approach to project development. The capacity of public institutions to plan, prepare and deliver infrastructure projects is central to effective infrastructure development.
Ambitions Beyond Growth- Economic and Social Survey of Asia-Pacific Region” by UN ESCAP 2019 reveals that achieving the Sustainable Development Goals by 2030 would require an annual additional investment of $1.5 trillion for Asia-Pacific developing countries – equivalent to five per cent of their combined GDP in 2018, or about four per cent in terms of the annual average GDP for the period 2016-2030.
Risk allocation is at the centre of every PPP transaction, and a deep understanding of the risk allocation arrangements is a precondition to the drafting of every successful PPP contract.