Financing Public Infrastructure in Sub-Saharan Africa

Abstract

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Fiscal Adjustment and Inflation Targeting in Less Developed Countries

“…Outlays on operations and maintenance (O+M) of infrastructure average 3.3% of GDP in Sub‐Saharan Africa. But true O+M costs are 40–50% higher (Briceno‐Garmendia, Smits, and Foster ). Lacking data for other parts of the Third World, we took the African data as a guide and set infrastructure investment equal to 5% of GDP. Ratio of user fees to recurrent costs per unit of infrastructure (μ).…”

Infrastructure Policy and Governance Failures

“…Faced with the choice between an extremely inefficient level of general public investment and a somewhat less inefficient level of targeted investments, the latter may have a stronger welfare effect. 21 For some examples from Africa, see Briceño-Garmendia, Smits, and Foster (2008). For natural gas network connection, see World Bank (2010).…”

Water infrastructure as an essential element for human development

“…It is generally estimated that developing countries need to invest some $1.2 -1.5 billion every year to close the existing infrastructure development gap; of this, only about half is actually being invested (Fay, Limi, & Perrissin-Fabert, 2010). In the case of Africa, country-level studies show that most countries are investing only 30-60% of what would be needed to close their development gap (Briceño-Garmendia, Smits, & Foster, 2008).…”