Benchmarking Infrastructure Development 2023 is an initiative of the World Bank’s Infrastructure Finance, PPPs & Guarantees (IPG) Group that benchmarks regulatory frameworks against internationally recognized good practices for the preparation, procurement and management of large PPP infrastructure projects.
About Benchmarking Infrastructure Development
Empirical studies show that every region of the world faces a chronic infrastructure gap. This problem is particularly acute in low- and middle-income economies where infrastructure “falls short of what is needed for public health and individual welfare, environmental considerations, climate change–let alone economic prosperity or middle-class aspirations” (Rozenberg and Fay, 2019). Moreover, as pointed out by Fay et al. (2019), “the vast majority (87-91 percent) of low and middle-income countries’ investment in infrastructure is undertaken by the public sector,” and the infrastructure gap “depends on the countries’ goals and spending efficiency.” To ensure the effective provision of infrastructure, it is imperative that public-private partnerships (PPPs) are executed under a framework that promotes fairness, transparency, and competitiveness. Furthermore, robust, and reliable infrastructure is a key driver of economic growth and improved standards of living by creating networks that facilitate connectivity and remove barriers to access to jobs, markets, information, and basic services.
Appropriate and effective regulatory frameworks and institutional capacity remain crucial for ensuring that investments in infrastructure are made strategically and efficiently. A supportive regulatory framework also reduces the costs and risks of carrying out individual projects. It provides the private sector and foreign investors with a more predictable, stable, and safe environment to invest in infrastructure, which is particularly relevant for emerging markets and developing economies (EMDEs). To assist with the assessment of the quality of the enabling environments in different economies, the use of data-based indicators has been recognized as useful both for shaping public awareness and for supporting government decision-making. The simplicity, communicability, and transparency of such data-based indicators can promote greater consistency in the decision-making process. Well-designed indicators can be influential in attracting the attention of senior policymakers, government officials, and the business community. Having consistent information across countries and over time is also critical to improving the quality of policy dialogue with client economies informed by evidence-based knowledge.
Benchmarking Infrastructure Development 2023 (BID) initiative builds upon the successful approach used in BID 2020, which focused specifically on PPPs.
The initial PPP survey was successfully piloted in 10 economies in 2015 with the goal of supporting better policymaking by highlighting the alignment of PPP regulatory frameworks with internationally recognized good practices. The initiative was expanded to 82 economies in 2017 with the support of the Public-Private Infrastructure Advisory Facility (PPIAF) and further expanded in 2018 to cover 135 economies, with the financial and technical support of the PPIAF, the Global Infrastructure Hub (GIH) and the African Legal Support Facility (ALSF). In 2020 and with the support of the Australian Government Department of Foreign Affairs and Trade (DFAT), five additional economies were added, culminating with a total of 140 economies. The current 2023 edition covers the same 140 economies as the 2020 edition.
By providing actionable indicators, the Benchmarking Infrastructure Development 2023 report offers a basis for evidence-based regulatory reforms that may improve the enabling environment for the development of quality infrastructure projects in different countries. Moreover, the initiative highlights areas for improvement and may guide policymakers in the concerned economies throughout the regulatory reform cycle, serving as a diagnostic tool and a benchmarking instrument against the recognized good practices in the key aspects of a country’s legal and regulatory procurement framework. It also helps fill the private sector’s need for high-quality information to become a partner in the delivery of public infrastructure, through PPP modality. Furthermore, the data may serve the needs of the different stakeholders for information as well as for analytical and policy-making purposes. It is hoped that this report will fuel further academic research, help governments assess their infrastructure governance systems, and deliver a unique information tool for the private sector and civil society.
Our Team
The Benchmarking Infrastructure Development team consists of the following experts.