News & insights
Date: June 2021 | Sector: Infrastructure | Expertise: Public policy & strategy
The new Build Back Better (B3W) initiative
In light of the recent announcements from the G7 regarding the new Build Back Better (B3W) initiative, we have prepared a briefing note that is available to download. CEPA's viewpoint focuses on how G7 countries can mobilise private finance for infrastructure in lower and middle income countries. Our briefing discusses three enhanced approaches compared with the status quo, namely:
- Prioritising the role of institutional capital in financing operational projects, by focusing DFI risk capital resources on project development and construction finance, prior to exiting to institutional investors.
- Encouraging greater involvement by local sponsors and investors, both equity and debt (from institutional investors) so that tariffs can be set in local currency, minimising exchange rate risk.
- Optimising the point at which private capital is introduced to projects, in order to expedite project development and implementation.
We would welcome your feedback about our note and invite you to contact us should you want to find out about how we could support you in relation to these and any other related matters.
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