Infrastructure Unbound

In emerging and developing economies, it is estimated that an additional $1-1.5 trillion in annual investment will be required through 2020 to meet growth targets. But simply increasing infrastructure investment is not enough to boost GDP and foster job creation.

WASHINGTON, DC – Consider a simple statistic. Every month in the developing world, more than five million people migrate to urban areas, where jobs, schools, and opportunities of all kinds are often easier to find. But when people migrate, the need for basic services – water, power, and transport – goes with them, highlighting the boom in infrastructure demand.

The reality is evident from Kenya to Kiribati – everywhere where rapid urbanization, the need to support trade and entrepreneurship, and efforts to confront the challenges of climate change have exposed a wide infrastructure deficit. And it is a deficit that confronts advanced economies as well.

Simply put, infrastructure construction and modernization worldwide needs to be part of a strategy for long-term global growth. That is why G-20 finance ministers, meeting recently for the first time this year in Sydney, Australia, singled out investment in infrastructure as one of the elements vital to ensuring a strong, sustainable, and balanced recovery.

To continue reading, please log in or enter your email address.

To read this article from our archive, please log in or register now. After entering your email, you'll have access to two free articles every month. For unlimited access to Project Syndicate, subscribe now.

required

By proceeding, you agree to our Terms of Service and Privacy Policy, which describes the personal data we collect and how we use it.

Log in

http://prosyn.org/k2AYBHg;

Cookies and Privacy

We use cookies to improve your experience on our website. To find out more, read our updated cookie policy and privacy policy.