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#EconomicSurvey | To advance its #infrastructure development, #India needs increased private sector #financing and new resource mobilization sources. More details here ⏬ #NirmalaSitharaman #BudgetWithMC #EconomicSurvey2024

🏗️ India's Infrastructure Financing: Insights from Economic Survey 2023-24 📊 The Economic Survey 2023–24, tabled by Finance Minister Nirmala Sitharaman, provides crucial insights into India's infrastructure development and financing landscape. Here are the key takeaways: 🤝 Call for Increased Private Sector Participation: ➡Survey emphasizes need for higher private sector financing ➡Aim: Continue building quality infrastructure 🏛️ Multi-Level Governance Approach: ➡Central, State, and Local Governments all have crucial roles ➡Policy and institutional support needed at all levels 💡 Innovative Financing Mechanisms: ➡Pooled financing for municipal projects ➡Specialized municipal intermediaries ➡Asset recycling programs ➡Tax increment financing ➡Land sales and development rights 📈 Capital Formation Recovery: ➡Public investment drives capital formation ➡Private sector investment significantly increasing since 2021–22. 🔨 Infrastructure Landscape Transformation: ➡Considerable growth in road, rail, air connectivity ➡Improvements in sanitation and digital infrastructure 💰 Current Funding Structure: ➡Public sector-led infrastructure creation ➡Central Government: 49% of total investments ➡State Governments: 29% of total investments ➡Private Sector: 22% of total investments 📊 Data Improvement Needs: ➡Better capture and reporting mechanisms required ➡Need for project-wise and sector-wise information ➡Proposal for an index tracking utilization rates 🎯 Future Focus: ➡Systematic collection of infrastructure-oriented financial flows ➡Addressing data gaps in assessing infrastructure demand ➡ Tracking utilization of facilities To know more about the infrastructure developments in India and the subsequent budgetary expectations, check out this article! #IndianInfrastructure #EconomicSurvey2024 #PrivateSectorParticipation #InfrastructureFinancing #EconomicDevelopment

As a general knowledge for my friends, colleagues and interested readers… Water sector projects are infrastructure projects and the need for those, makes the necessity of implementing such a projects are not discussable… The governments are the responsible for building the infrastructure in the social & economical levels… But the dilemma for this because of the financing intense … and most of the projects are not feasible in short term and governments tend to have a long term contract. Going for this option leads to legal, financial, technical challenges due to maintaining the public service at the optimum level and the financial load at minimum level. This is usually linked to two terms: - PPP “public private partnerships” - Privatization And most of what we see today are PPPs and not privatization. Privatization is a public service where the private partner own everything and there is no control on him by the government and the government just control the market through the regulatory system such as schools and hospitals. PPP is something else where government build a business framework and tened it for procurement, and procure the public service from the private partner on a performance basis… and payments in PPPs are based on public service in order to drive the private partner to utilize the asset and attract the use of it. PPPs are two types of commercial use: - Government- pays models - User - pays models And from financing point of veiw there is two main types: - Assets fully financed by the private partner such as highwas, power plants and water and wastewater services - Assets co-financed by both public entity and private partner such as rails. This is all till now, and hope for questions in this topic and enrich the discussions…

The demand for quality infrastructure is constant worldwide. Well-designed infrastructure facilitates economies of scale, reduces trade costs, and is vital to the efficient production and delivery of goods and services. Infrastructure also underpins a country’s economic growth and development, which is a key to raising living standards. Where the money will come from is the question that governments, the public sector, or even the private sector always ask when funding large-scale infrastructure or when faced with infrastructure projects. Aside from funding constraints, clashes in priorities of various political groups can contribute to the challenges of financing infrastructure. https://lnkd.in/g52jbzDg

Central Government Infrastructure Investment The Central Government has announced Significant investments in infrastructure that have had a strong multiplier effect on the economy. Over the next five years, strong fiscal support for infrastructure has been planned to maintain by the Central Government. For capital expenditure this year, Rs.11,11,111 crore has been allocated that will constitute 3.40% of GDP. State Governments Infrastructure Investment Based on their development priorities, similar scale support for infrastructure to be provided by the State Government. To support states in resource allocation, provision of Rs.1.5 lakh crore for long-term interest-free loans has been announced. Private Investment in Infrastructure Through viability gap funding and enabling policies, private sector investment in infrastructure will be promoted. A market-based financing framework to be introduced.

The Government has today released a refreshed Public Private Partnership (PPP) framework that provides a blueprint to the market outlining how the government will approach future PPP transactions... READ MORE: https://lnkd.in/gtqN2fPp New Zealand Government #infrastructure Infrastructure New Zealand

Housing and infrastructure delivery should be at the top of the agenda in the new programme for government, a panel of Irish business leaders has said in a new survey. Some 35 per cent of the 356 company directors polled by the Institute of Directors (IoD) Ireland recently cited national infrastructure – including broadband, transport and roads – as the most important issue the new government should address with another 35 per cent citing housing delivery.

Great report on "local government infrastructure financing" by New Zealand Infrastructure Commission, Te Waihanga. If anyone is interested in infrastructure financing, this is great research to go through. While I highly recommend reading this, I also strongly agree with the second suggestion point: "Strong asset management and project selection." Local government plays a significant role in providing infrastructure networks in New Zealand. It owns and operates about 26% of New Zealand's infrastructure, worth a total of $76 billion. The costs of building, renewing, and maintaining this infrastructure are significant. Since 2002, for every $100 invested in infrastructure in New Zealand, about $24 comes from local government, an average of $3.8 billion per year. Councils use debt to finance new long-term assets that benefit future generations of residents. This ensures the upfront cost is shared fairly across the generations who will be using them. Do current financing tools constrain infrastructure investment? Do councils need to modify their local financing tools? While researching these questions, this excellent report delves into the history of local government financing to examine how councils in New Zealand have managed this in the past and what insights we can gain from that. It proposes three main actions councils can take right now, regardless of where the council's debt limits should be or whether the councils need to update their financing tools: 1. Making good choices about financing options 2. Strong asset management and project selection 3. Use of more targeted revenue streams https://lnkd.in/g5anjKWN #infrastructure #financing #localgovernment #council #debt #assetmanagement

Housing and infrastructure delivery should be at the top of the agenda in the new programme for government, a panel of Irish business leaders has said in a new survey. Some 35 per cent of the 356 company directors polled by the Institute of Directors (IoD) Ireland recently cited national infrastructure – including broadband, transport and roads – as the most important issue the new government should address with another 35 per cent citing housing delivery.

Beginning August 21, the Ontario Government | Gouvernement de l’Ontario will be accepting applications for funding under the $400 million Housing-Enabling Core Servicing stream of the $1 billion Municipal Housing #Infrastructure Program to build, maintain, and repair core assets such as municipal roads, bridges and culverts that will support the #construction of new homes. Of the $400 million, the government is allocating another $120 million to projects in small, rural and northern municipalities that do not have housing targets to better support the unique needs of these growing communities. “Our government is working with our municipal partners to support their infrastructure needs and get more homes built across the province,” said Kinga Surma, MPP, @ontario ministry of Infrastructure, who made the announcement at the 125th Association of Municipalities of Ontario (AMO) Conference in Ottawa. “This investment, in addition to the $970 million we are investing in water infrastructure through the first intake of the Housing-Enabling Water Systems Fund, will help unlock more housing opportunities beyond 511,000 homes, bringing us another step forward in our historic partnership with municipalities to build the infrastructure and homes that our communities need to grow and prosper.” Eligible projects include any road and bridge assets that enable housing infrastructure and promote growth in communities. These projects must be a net new, rehabilitation, repair, reconstruction or replacement project. “AMO thanks the Ontario government for its leadership in making historic investments of nearly $2 billion towards housing-enabling infrastructure. #Municipalities are planning for infrastructure expenditures of more than $250 billion over the next 10 years. This funding is welcome, as it will help pave the way to increase housing supply, support growth and strengthen the economy,” said Colin Best, president, AMO. Read the full story: https://lnkd.in/gXjsZG3t