The guiding principle of the course is the global need to find workable and scalable models to generate financing from all sources in order to achieve the Sustainable Development Goals (SDG), which should also be adaptable to the specific requirements and conditions of each country.
In my own experience working for a non-profit organization, joining forces and pooling resources in multi-stakeholder partnerships is key to tackling scarcity and multiplying the effects of development financing.
For my final project, I have chosen to broadly address stakeholders in development to suggest how cross-functional project development can reduce investment risk and improve the provision of basic facilities in lower- and middle income countries.
4. Just as financial
instruments such as
guarantees or subsidies
can catalyze investments in
development projects...
... already existing projects can mobilize
resources for beneficiary projects, so called:
piggybacking.
5. There is no need to reinvent the wheel each
time and fully provide new infrastructure for
each project, if it is already on hand or is in
the process of being established.
By linking projects, it would be possible to
maximize the impact and sustainability of
each project.
6. A solar energy project in development could
be adapted to include provision of energy to
a hospital construction project.
Example:
7. For the energy project: demand on assets is
solidified (consumer guarantee).
For the hospital project: assurance that a key
infrastructure requirement will be met.
Bottom line = risk reduction and added value
for both projects
(increased attractiveness for long-term investors)
Incentives
(for both public and private
financers/investors)
8. The premise of piggybacking development
projects is scalable and adaptable: it can
expand to apply to a number of countries and
for a number of sectors depending on local
infrastructure requirements.
Further examples:
Water & Sanitation + Housing
Telecommunications + Schools/Universities
Public transportation + Urbanization
9. Ideally, mutually beneficial projects should be
designed and coordinated as early as possible.
This requires solid communication and transparent
information between development stakeholders to
match appropriate infrastructure development plans.
Platforms such as the Global Infrastructure Hub or
the UN Global Compact are important resources for
bringing private and public sectors together.
http://globalinfrastructurehub.org/
https://www.unglobalcompact.org/
10. Engaging non-traditional donors/investors
demands reliability, credibility, due diligence
and innovation.
Multistakeholder partnering can distribute
risk more broadly and deliver sustainable,
mutually beneficial projects.
