Recent Trends in Private Activity in Infrastructure : What the Shift Away from Risk Means for Policy
In 2006, private participation in infrastructure continued its recovery for the third consecutive year from the steep downturn of the late 1990s. Activity was more evenly spread across all developing regions. However, it became more concentrated in...
| Main Authors: | , |
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| Format: | Brief |
| Language: | English |
| Published: |
World Bank, Washington, DC
2012
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2008/05/9649190/recent-trends-private-activity-infrastructure-shift-away-risk-means-policy http://hdl.handle.net/10986/10612 |
| Summary: | In 2006, private participation in
infrastructure continued its recovery for the third
consecutive year from the steep downturn of the late 1990s.
Activity was more evenly spread across all developing
regions. However, it became more concentrated in less risky
sub sectors, reflecting a lower appetite for risk among
private investors. Greater selectivity has facilitated
private sector's renewed interest, but it also raises
questions about how governments can best tap private
operators' abilities in high-need, high-risk areas such
as water and electricity distribution. Recent projects in
these areas indicate that the public sector together with
the international financial institutions remains the main
source of investment funding. As governments create
arrangements to attract private participation, they also
need to ensure an equitable distribution of benefits among
investors, taxpayers, and service users. |
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