IFC has been key in structuring public-private partnership transactions in infrastructure and other public services projects in Africa that contribute to sustainable economic development and growth.
Public-private partnerships -- also known as 'PPPs' -- are contractual arrangements that allow governments to benefit from private sector expertise, management, and finance, helping expand access to public services such as water and sanitation, transport, power, and education.
Throughout Africa and the rest of the developing world, shortages of reliable power and transport hamper business growth, block job creation, and reinforce poverty—as does insufficient access to clean water, sanitation, health care, and education.
Private capital, expertise, and commercial discipline can make a big difference in delivery of these critical services. But full privatization and purely private concessions are proving to be of limited appeal in some infrastructure sectors today. IFC Advisory Services and Financial Products are supporting innovative new PPPs to address this situation.
IFC has worked as both advisor and investor for many successful PPPs. IFC is the only multilateral institution offering direct advisory services to governments on implementing private sector participation transactions and has more than $5 billion invested in private infrastructure, health, and education projects.
IFC Financial Products (including debt, equity, convertible and quasi-equity instruments, and partial risk and credit guarantees) complement and enhance domestic financing for PPPs and offer important endorsement for new structures.
IFC has a strong track record in this area: Recent examples of IFC supported PPPs in Africa include:
Lesotho: National Referral Hospital
Kenya: Telkom Kenya
Mozambique: Moatize Coal Deposit
South Africa: National Parks
For more information contact:
Jason Hopps
Communications Officer
Johannesburg, South Africa
Phone: +27 11 731 3120
E-mail: jhopps@ifc.org
