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Africa’s Infrastructure Finance

Mahmoud Arbouch, Otaviano Canuto and Miguel Vazquez

No 2042, Policy briefs on Economic Trends and Policies from Policy Center for the New South

Abstract: Africa’s infrastructure investment gap has widened over time. Addressing the mismatch between developed countries’ “global savings glut” and African countries’ “investment dearth” might be a win-win. To facilitate that matching, some risk mitigation tools can be used. In this brief, we propose that by providing such risk mitigation tools, development institutions and governments can crowd-in private investment rather than crowd them out by providing full financing. This article was originally published on T20 website , as our Fellow Otaviano Canuto, and research assistant in economics, Mahmoud Arbouch are part of the T20 Task Force 3 on infrastructure investment and financing .

Date: 2020-10
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