INFRADEV: Mitigating the Risks of Infrastructure Investment
Objective
Enhance the capacity of developing country governments and development agencies to mobilize private sector investment for infrastructure projects, leveraging limited official sector finance through risk mitigation structures, techniques, and instruments.
Description
INFRADEV was designed to provide independent catalytic web-based communication mechanisms that enable cost-effective collaboration between public and private sector practitioners in sharing best-practices and proposals, as well as specific products, services, and structures that can be utilized to develop and finance infrastructure projects. The rationale is documented in the World Economic Forum Report directed by the Executive Director of GlobalDF: Building on the Monterrey Consensus- The Untapped Potential of Development Finance Institutions to Catalyse Private Investment
Partners
Developed with funding from the UN Financing for Development Office and the Swiss Agency for Development and Cooperation.
Invitation to Partner
GlobalDF invites interested parties to develop a second edition of INFRADEV for greater impact in achieving the SDGs and climate goals.
Details
Two specific INFRADEV communication platforms were designed to enhance the capacity of developing countries and development agencies to mobilize private sector capital:
1) “INFRADEV Info-Exchange” is an open website that provides the public information and results generated by the INFRADEV Leaders Network (see below). Easy access to information improves the capacity of government officials, development agencies, and the private sector to identify infrastructure needs and needed services for developing and financing projects. Key INFRADEV Directories on infrastructure enabling-information include:
- DEMAND FOR INFRASTRUCTURE PROJECTS: Information on developing country Infrastructure and PPP Programs
- SUPPLY OF RISK MITIGATION & PROJECT DEVELOPMENT ASSISTANCE: Information on Risk Mitigation Products and Project Development Assistance Services
- LEADING-EDGE TRANSACTIONS DEMONSTRATING THE USE OF RISK MITIGATION: Information on selected successful transactions illustrating how risk mitigation can be used to achieve better access to private capital for infrastructure projects
- INFORMATION RESOURCES: Basics on key financial instruments; types of risks; past trends by region and sector; prior transactions in infrastructure finance; toolkits & best practices; etc.
- CONTACT INFO: Detailed contact info for service providers and infrastructure programs
2) The INFRADEV Leaders Network was designed as an independent catalytic intranet-based network for infrastructure practitioners from the public and private sectors aimed at increasing their capacity to collaborate and be effective in increasing the volume of completed infrastructure transactions. Members use the Network to share information on their infrastructure needs, products, and services. Updated information is also automatically posted on the public site, INFRADEV Info Exchange, enabling Members to provide enabling information to investors, development agencies, and governments worldwide. Members exchange their personal views and proposals on the Network; ask questions on infrastructure programs, products and services; and participate in the Member Forum with suggestions on how to advance overall approaches to infrastructure finance. Examples of specific critical areas for expert exchange are how to advance progress in mitigating regulatory and currency risks, and advance access to finance for subsovereign and renewable energy projects. Practitioner exchanges can increase the capacity of individual INFRADEV Members to be effective and produce results.
For more info on the INFRADEV approach, click here.