Filling the world infrastructure financing gap

Washington

THERE is a sizeable gap between the world economy's infrastructure needs and available financing. The shortfall is especially pronounced in emerging markets.

Infrastructure investment has fallen short of what is needed to support potential growth. At the same time, financial resources in world markets have contended with low long-term interest rates, while opportunities for greater returns from potential infrastructure assets are missed.

The development of properly structured projects, with risks and returns distributed in accordance with stakeholders' incentives, will help to close the gap between private sector financing and inf…