Infrastructure

Infrastructure & Investment Taskforce
15 December 2014
Task force organization structure
Ferit Şahenk
To be determined
Chairman of Doğuş holding
Coordinating chair
Co-Chairs
Task Force Members
Knowledge Partner
B20 Secretariat
Business Network
Infrastructure investment is key for economic growth,
increased employment, and improved quality of life
~ US$ 9 trillion spent each year
Global spend, US$ trillion
9.1
4.2
1.1
1.2
0.4
1.1
Transport
$ 57
trillion
funding needed to
finance infrastructure
projects through 2030
$3
trillion
annual economic
growth lost due to
inadequate infrastructure
$ 500
billion
annual gap between
investment needs and
available public funds
1.1
Power
and
water
SOURCE: McKinsey & Company
Telecom
Social
Oil, gas
infraand
structure mining
Real
estate
Total
This year B20 focus will be on implementation
Recommendations
G20's response
Approach for implementation
▪ Develop strategic visions on infrastructure, including five
Reaffirm the critical importance of
infrastructure
Tackling global investment and
infrastructure shortfalls is crucial
Promote and protect cross-border
capital flows and FDI
Not covered
▪ Improve cross-border investment conditions, such as an
Establish, publish and deliver credible
national infrastructure pipelines
Improve information on project
pipelines
▪ Share global best practices on infrastructure agencies
▪ Develop standard approach to create, prioritize and
year investment targets with governments
investment-friendly international tax framework
sustain national infrastructure pipelines
Establish an Infrastructure Hub
Establish a Global Infrastructure
Hub
Implement transparent infrastructure
procurement and approvals process
Not covered
Removing unnecessary regulatory
discentives and developing local
capital markets
Facilitate long-term financing from
institutional investors
▪ Assist the hub in setting up an organization, budget,
funding, and governance structure
▪ Document and share globally best-practice procurement
▪
1 G20 commitment to broad capital recycling and privatization of brownfield assets rather than greenfield PPPs
SOURCE: B20 Australia, Brisbane G20 Communiqué, B20 recommendations assessment of alignment
and contracting frameworks
Ensure exchange of global best-practices
▪ Develop standardized PPP and securitization approach
▪ De-risking private infrastructure investment1
Not covered in G20 Communique
Almost fully covered in G20 Communique
Suggested additional priority areas
▪
▪
▪
▪
Improving PPP mechanisms
– technical feasibility, affordability, risk sharing
and mitigation
Improving the investment financing models to
use revenue from infrastructure assets
Developing and promoting models for efficient
use of existing infrastructure assets
Developing and promoting models for efficient
infrastructure project delivery
– Productivity and effectiveness rather than
funding
Your suggestions/ideas