Unlocking Private Investment in Sustainable Infrastructure in Asia

Infrastructure investment is crucial for economic growth in Asia, but the region faces significant deficiencies in sustainable infrastructure. The public sector is the primary source of investment, but fiscal deficits and other budgetary constraints require developing alternative sources of investment, such as private-public partnerships (PPPs). This book provides a scholarly discussion on PPPs and approaches to unlock private participation in infrastructure investment, with examples from across Asia. It assesses the impacts and future of sustainable infrastructure investments and examines the role of governments in mobilizing financial resources and new models for unlocking private investment.

Format: Paperback / softback
Length: 340 pages
Publication date: 27 May 2024
Publisher: Taylor & Francis Ltd

Investment in infrastructure is crucial for driving economic growth, and while countries in Asia have experienced higher rates of gross domestic product (GDP) growth in recent years, the region still faces significant challenges in terms of the scale and quality of sustainable infrastructure. Population growth and climate change continue to put increasing pressure on the need for strategic and forward-looking development, necessitating a reevaluation of infrastructure governance to ensure sustainable economic growth. Currently, the public sector is the primary source of investment in infrastructure in developing Asia, but with growing fiscal deficits and other budgetary constraints, it is essential to develop alternative sources of investment for infrastructure projects. This presents opportunities to tap into the private sector, which can play a significant role in minimizing the funding gap through the development of stronger, more transparent public-private partnerships (PPPs) and incentivizing sustainable infrastructure investment.

This book provides a scholarly discussion on the importance of PPPs and approaches to unlock private participation in infrastructure investment based on lessons from across Asia. Among the proposed schemes are government tax incentives, development-based land value capture strategy under PPP land pooling, Viability Gap Funds, Project Development Facilities, and other guarantees. The book aims to assess the impacts and future of sustainable infrastructure investments and examines the role of governments in mobilizing financial resources and new models for unlocking private investment in sustainable infrastructure.

This book consists of fifteen original chapters on the experiences of the Central Asia Regional Economic Cooperation (CAREC) and a few other countries in the region. The chapters cover a wide range of topics, including infrastructure financing, PPPs, and sustainable infrastructure development. The book also includes case studies and examples from various countries in Asia, providing valuable insights into the challenges and opportunities faced by infrastructure investors and developers.

One of the key challenges facing infrastructure investment in developing Asia is the need for more efficient and effective governance. Many infrastructure projects are plagued by corruption, inefficiency, and poor management, which can lead to delays, cost overruns, and reduced returns on investment. PPPs can help address these challenges by bringing together the public and private sectors to develop and manage infrastructure projects. PPPs can also provide a more transparent and accountable governance structure, which can help build trust between the public and private sectors.

Another challenge facing infrastructure investment in developing Asia is the need for more sustainable infrastructure. Sustainable infrastructure is designed to meet the needs of the present without compromising the ability of future generations to meet their own needs. This includes investing in renewable energy, improving transportation infrastructure, and reducing waste and pollution. PPPs can help facilitate the development of sustainable infrastructure by providing financing and expertise to infrastructure developers.

In addition to these challenges, infrastructure investment in developing Asia is also facing a number of opportunities. One of the biggest opportunities is the growth of the middle class. As the middle class grows, there will be a greater demand for infrastructure services, such as housing, transportation, and healthcare. This will provide opportunities for infrastructure investors to develop new projects and expand existing ones.

Another opportunity is the development of new technologies. New technologies can help improve the efficiency and effectiveness of infrastructure projects, such as smart grids, intelligent transportation systems, and renewable energy. PPPs can help facilitate the development of these technologies by providing financing and expertise to infrastructure developers.

However, there are also a number of challenges that need to be addressed in order to ensure the success of infrastructure investment in developing Asia. One of the biggest challenges is the lack of infrastructure financing. Many infrastructure projects require significant amounts of capital, and the public sector may not have the resources to provide this financing. PPPs can help address this challenge by providing financing to infrastructure developers.

Another challenge is the lack of infrastructure expertise. Many infrastructure projects require specialized expertise, and the public sector may not have the resources to provide this expertise. PPPs can help address this challenge by providing expertise to infrastructure developers.

In conclusion, investment in infrastructure is essential for promoting economic growth, and while countries in Asia have enjoyed higher rates of GDP growth in recent years, the region remains severely deficient in the scale and quality of sustainable infrastructure. By developing alternative sources of investment for infrastructure projects, tapping into the private sector, and improving infrastructure governance, we can help ensure sustainable economic growth in developing Asia. This book provides a scholarly discussion on the importance of PPPs and approaches to unlock private participation in infrastructure investment based on lessons from across Asia. It includes fifteen original chapters on the experiences of the Central Asia Regional Economic Cooperation (CAREC) and a few other countries in the region, and provides valuable insights into the challenges and opportunities faced by infrastructure investors and developers.

Weight: 556g
Dimension: 155 x 235 x 24 (mm)
ISBN-13: 9781032133454