IFC advises governments on private-sector participation in infrastructure and other public services, such as health and education. Our advisory work balances the requirements of investors with public-policy considerations and the needs of the community to support broader access to public infrastructure and services, improve living standards and promote long-term economic growth.
Today, an estimated 884 million people in developing countries are without clean water; 1.6 billion are without electricity; 2.5 billion are without sanitation; and nearly one billion are without access to an all-weather road. Developing countries invest, on average, less than 4 % of their GDP on infrastructure each year, when they should be spending an estimated 7 to 9% to sustain broader economic growth and reduce poverty. The private sector can play a critical role in helping governments bridge this gap.
IFC's record of success and reputation for transparency has made it the leading multilateral advisor in the field. In the last 20 years, IFC's Advisory Services in Infrastructure has advised on more than 250 private-sector participation transactions in 80 countries, including many model and innovative public-private partnerships around the world.
Transactions completed in FY2009 benefited 4.9 million people, yielded fiscal savings of US$360 million and leveraged over US$1.7 billion in private investment.
IFC's advisory services in infrastructure encompass:
- Public-Private Partnerships to expand access to physical and social infrastructure such as electricity, water and sanitation, health and education;
- Advice to private entities in areas such as training, capacity building and initial feasibility and technical studies;
- Support for extending access to improved infrastructure services, an integrated solution that combines advisory services with capacity building for private sponsors; and
- Advice for upstream work such as sector initiatives, market and feasibility studies and capacity building.
