101. Sustainable Infrastructure Development in Sub Saharan Africa: A View from the Ground
- Author:
- Jamal Saghir
- Publication Date:
- 04-2017
- Content Type:
- Policy Brief
- Institution:
- Institute for the Study of International Development, McGill University
- Abstract:
- The objective of this policy brief is to discuss issues affecting sustainable infrastructure development in Sub-Saharan Africa (SSA)2 countries including challenges, opportunities, and investment options facing SSA countries. Sustainable infrastructure refers to the designing, building, and operating of infrastructure 3 projects taking into account social, economic, financial, ecological and environmental considerations. Sustainable infrastructure enhances quality of life for citizens, helps protect vital natural resources and environment, and promotes a more effective and efficient use of financial resources.4 Infrastructure development and financing are an indispensable component of growth for any economy, and are an essential building block for SSA countries to get on the path of sustainable development. However, at present, SSA countries lack adequate and sustainable infrastructure to support increased economic growth. Overall and by all indicators, SSA is the least endowed region of the world in terms of infrastructure, even when compared too low- and middle-income countries in other developing regions. Moreover, private sector investments in SSA infrastructure remain among the lowest in the world. This is due to a number of contributing factors, including small country size that affects economies of scale and service delivery costs; low incomes that constrain affordability; weak institutions; underdeveloped domestic capital markets resulting in lack of locally-denominated long term capital; and relatively poor business environments. Closing SSA’s infrastructure gap would thus require a multi-track approach to increase all forms of public and private investments and leverage a variety of financial instruments, including guarantees.
- Topic:
- Development, Infrastructure, Economic growth, and Sustainability
- Political Geography:
- Africa and Sub-Saharan Africa