The Global Infrastructure Facility is a/an

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Q: 56 (IAS/2017)
The Global Infrastructure Facility is a/an

question_subject: 

Economics

question_exam: 

IAS

stats: 

0,129,80,28,129,27,25

keywords: 

{'global infrastructure facility': [0, 0, 0, 1], 'infrastructure projects': [0, 0, 1, 2], 'facilitate infrastructure development': [0, 0, 0, 1], 'infrastructure': [1, 4, 4, 6], 'world bank collaboration': [0, 0, 0, 1], 'asian development bank': [0, 0, 2, 2], 'complex infrastructure': [0, 0, 0, 1], 'asean initiative': [0, 0, 0, 1], 'private partnerships': [0, 0, 0, 1], 'private sector': [0, 0, 2, 9], 'ppps': [0, 0, 0, 1], 'major banks': [0, 0, 0, 1], 'private investment': [0, 0, 0, 2], 'institutional investor capital': [0, 0, 0, 1], 'initiative': [2, 0, 1, 23], 'asia': [0, 0, 1, 0], 'oecd': [0, 0, 3, 10], 'collaboration': [0, 0, 0, 2], 'credit': [0, 2, 4, 6], 'world': [24, 6, 12, 21]}

The correct option is Option 2: World Bank collaboration that facilitates the preparation and structuring of complex infrastructure Public-Private Partnerships (PPPs) to enable mobilization of private sector and institutional investor capital.

The Global Infrastructure Facility (GIF) is a partnership among governments, multilateral development banks (MDBs), and private sector investors, established by the World Bank in 2015. The aim of the GIF is to provide a platform for collaboration among stakeholders to develop complex infrastructure projects, particularly in emerging markets and developing countries.

The GIF provides technical assistance and financial support to develop and structure public-private partnership (PPP) projects, which are critical for attracting private sector and institutional investor capital. PPPs involve a contractual agreement between a government and private sector partner for the design, construction, financing, and operation of infrastructure projects. PPPs can help address the infrastructure financing gap by leveraging private sector expertise, capital, and efficiency to deliver projects.

Through the GIF, the World Bank and its partners provide support at various stages of the PPP project cycle, including project preparation, feasibility studies, structuring, procurement, and financial close. The GIF also helps identify and address potential risks and challenges associated with PPP projects.

The GIF has financed several PPP projects in various sectors, including transportation, energy, water, and sanitation. For example, the GIF provided technical assistance to the government of Ethiopia to develop a PPP framework and structure for the Addis Ababa Bus Rapid Transit project, which is expected to provide affordable and efficient transportation services to over 60,000 commuters daily.

In conclusion, the Global Infrastructure Facility is a World Bank collaboration that facilitates the preparation and structuring of complex infrastructure Public-Private Partnerships (PPPs) to enable mobilization of private sector and institutional investor capital. The GIF provides technical assistance and financial support to develop PPP projects in emerging markets and developing countries.