PPIAF works with government clients, both national and subnational, to help them effectively address infrastructure developmental challenges. As a result, they become capable and responsible partners that work effectively with the private sector. Globally, a number of recurring developmental issues emerge where PPIAF can tap into and apply international experience and knowledge. Wherever possible, we seek to work in the following focus area.
In many developing countries, infrastructure has not developed as a viable asset class for financial institutions (such as banks, equity providers, and institutional investors). Access to long term financing is a critical issue in implementation of infrastructure projects. There are many inter-related reasons for this that include a shortage of long-term domestic currency finance, local banking market capacity and appetite, a lack of adequately developed capital and inter-bank markets,...Read more
Increasing urbanization across the developing world is creating infrastructure needs in cities. However, municipal authorities, state-owned entities and utilities are often constrained by inefficiencies in revenue collection, high costs and poor working capital management. This reduces the creditworthiness of these entities which in turn can act as a major obstacle to attracting private sector investment into much needed infrastructure. This solution area focuses on creating the conditions...Read more
Many developing countries are disproportionately facing the task of trying to mitigate and adapt to the impact of climate change, while they are also most vulnerable to the climate change impacts. These governments often lack the policy and regulatory (e.g. for subsidy structures) capacity to support the low carbon development of infrastructure that can help mitigation and adaptation efforts. In addition, low and middle income countries also provide the opportunity and flexibility to enable...Read more
In many countries, public (traditional) procurement remains the primary method of developing infrastructure. Many governments often lack the institutional capacity to design, implement and oversee long-term, complex contractual arrangements such as a multi-year PPP. Additionally, institutional capacity is also necessary to ensure transparent procurement of infrastructure projects and to prevent corruption in these projects. This solution area focuses on establishing new institutions or...Read more
Countries often lack the interconnectivity of network infrastructure to help them increase the potential for regional trade which, in turn, would boost economic growth and regional competitiveness. To develop regional projects requires the presence of a complex enabling environment that can provide harmonized policy, regulatory and legal frameworks across the various participating jurisdictions. Moreover, regional institutions are often required to promote and develop the regional...Read more