Can infrastructure generate growth? Recent World Bank research tackles this question from a variety of angles
Infrastructure is critical to support social progress and the achievement of the Millennium Development Goals. It can be an agent of change in addressing the most systemic development challenges of today’s world—social stability, rapid urbanization, climate change adaptation and mitigation, natural disasters, and global issues such as food and energy security. Finding solutions to these challenges requires tackling the complexity and inter-connectivity among sectors. This realization—that infrastructure is more than the sum of actions by individual sectors—is shaping the global agenda, from the G20 summits in Korea and France to the upcoming summit in Mexico and the Rio+20 conference.
Transformation through Infrastructure—the updated World Bank Group Infrastructure Strategy FY12-15—lays out the framework for transforming the Bank Group’s engagement in infrastructure. It looks at the nexus between sectors and calls for infrastructure to accelerate growth and even shift clients towards a more sustainable development trajectory. … more
At the peak of the global financial crisis, the World Bank Group emerged as the largest multilateral development financier in infrastructure, with $30 billion in new commitments in 2010. This outcome stems from a massive scale-up in infrastructure, which started in 2003. Infrastructure is now the single largest business line of the Group: It represents 43% of the total assistance of the Group to low- and middle-income countries and the private sector. … more