The Public-Private Infrastructure Advisory Facility (PPIAF) is a leading global facility dedicated to enabling private sector investment in infrastructure in emerging and developing economies by addressing critical policy, regulatory, and institutional challenges. Celebrating its 25th anniversary, the FY24 Annual Report showcases PPIAF's transformative impact, including catalyzing $29 billion in infrastructure investments, expanding subnational financing opportunities, embedding climate resilience into infrastructure development, and promoting gender-inclusive solutions across the sector. The report underscores PPIAF's innovative approaches and enduring commitment to sustainable infrastructure development across 130 countries.
PPIAF is building on its 25-year history of innovation by developing tools and resources that integrate climate and inclusion, utilizing standardized frameworks, and focusing on critical themes to address global challenges.
25 Years of Impact: Catalyzing Private Capital for Sustainable Infrastructure
Since its inception, PPIAF has implemented over 1,700 activities in 130 countries, deploying $400 million in resources to catalyze $29 billion in infrastructure investments. In Kenya, for example, PPIAF helped develop a robust public-private partnership framework that resulted in the creation of project facilitation fund supporting a $10.9 billion project pipeline. It also strengthened Indonesia’s Infrastructure Finance's capacity to screen climate-resilient and inclusive projects, and supported Ghana’s Infrastructure Investment Fund, now anchored by $345 million to attract private capital for large-scale initiatives. PPIAF has also helped subnational entities secure nearly $1.5 billion for infrastructure projects without relying on sovereign guarantees.
PPIAF is an integral part of the World Bank Group’s toolbox to bridge infrastructure gaps in emerging economies by unleashing the potential of public-private partnerships.
Bridging the Infrastructure Gap Amidst Global Challenges
The global infrastructure gap continues to widen, now requiring about 4.5% of GDP annually to provide basic, climate-resilient services. PPIAF plays a unique role by focusing on early-stage market preparation and project support, helping countries remove investment barriers and attract much-needed private capital for sustainable infrastructure. Amid these challenges, it has responded swiftly, notably during the COVID-19 pandemic, by mobilizing resources to help countries assess and mitigate the impact on PPP projects. In Peru, it supported the government in creating a framework to manage distressed PPP projects, while in Haiti, it facilitated renewable energy solutions to enhance healthcare services.
Integrating Climate Resilience and Sustainability into Infrastructure Investments
Addressing climate change demands private sector participation in renewable energy and low-carbon transport. PPIAF has embedded climate co-benefits into all country-level technical assistance and launched the Climate Toolkits for Infrastructure PPPs (CTIP3) in 2022 to help governments assess climate risks and opportunities. With pilots in 20 countries, these toolkits support projects like Tanzania’s Msimbazi River Basin Development and Mozambique’s resilient transport systems. In FY24, PPIAF introduced the Adaptation Finance and Biodiversity Program to scale private financing for climate adaptation, with projects including sustainable waste management in Belize and nature-based solutions for infrastructure investments.
Innovative Programmatic Approaches to Advance Private Participation in Infrastructure
PPIAF plays a vital role in advancing private participation in infrastructure by aligning with the World Bank’s Evolution Roadmap to address global challenges. Through early-stage support, targeted assistance, and standardized frameworks, PPIAF mitigates risks for private investors and replicates successful models across countries, delivering efficient and adaptable solutions to infrastructure challenges. Key initiatives include leveraging renewable energy and smart grid technologies to expand energy access, such as scaling off-grid solar systems in Ethiopia and Uganda and improving power sector efficiency in Laos.
PPIAF also addresses urban demands by advancing electric mobility and improving water management. In Cambodia, it supports the transition to electric mobility with data-driven policy recommendations, while in Africa, it has improved water utility efficiency in Ethiopia, Ghana, and Togo through performance-based contracts. Additionally, PPIAF’s Gender PPP Toolkit integrates gender considerations into infrastructure projects, ensuring inclusivity and greater financial returns.
Driving Innovation in Infrastructure: The PPIAF-GI Hub Integration
The integration of the Global Infrastructure Hub (GI Hub) into PPIAF in April 2024 marks a milestone in expanding capacity to support global infrastructure development. By combining GI Hub’s tools, such as the Infrastructure Monitor, with PPIAF’s expertise, this integration strengthens the delivery of actionable insights and innovative solutions. This unified platform, including resources like the Benchmarking Infrastructure Development report and the PPP Knowledge Lab, bolsters the capacity to provide comprehensive infrastructure solutions and empowers more informed decision-making.
This integration advances PPIAF’s role in promoting private sector engagement and offering targeted resources to infrastructure practitioners worldwide. The improved platform will offer better content quality, user experience, and accessibility, enabling governments and stakeholders to easily access critical information for effective project development and implementation. It also positions PPIAF to play a more significant role in global infrastructure discussions, including through the G20 and other forums, further advancing the public-private partnership agenda. By leveraging GI Hub’s global network and PPIAF’s initiatives, this merger ensures that global knowledge is translated into impactful, locally-driven infrastructure solutions.
