23 20 ANNUAL REPORT PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY Annual Report 2023  •  1 23 20 PPIAF is the only global facility dedicated to strengthening ANNUAL the policy, regulatory, and institutional underpinnings of private sector investment in infrastructure in emerging markets and developing countries, as well as enabling finance for subnational entities. We call this the critical upstream. While many initiatives focus on developing infrastructure projects with private sector participation, PPIAF sets the stage to make this possible by building institutions, strengthening REPORT the capacity of counterparties, and reducing policy, regulatory, and institutional risks. PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY Turning hundreds of thousands in grant financing into hundreds of millions in infrastructure investment— this is the role of PPIAF. Learn more at ppiaf.org. Follow us on LinkedIn at linkedin.com/company/ppiaf. PPIAF Donor Partners CONTENTS Foreword ............................................................................................ 2 Donor Message, Germany ................................................... 4 Beneficiary Message, The General Department of PPPs of Cambodia .............................. 6 FY23 Highlights .......................................................................... 8 FY23 Overview ............................................................................. 48 FY23 Achievements ................................................................. 60 Annexes .............................................................................................. 76 expanded work on biodiversity and ecosystem reached financial close, mobilizing $1.76 billion in services through the new Adaptation Finance and private capital—275 times PPIAF’s initial investment Biodiversity program approved by our donors for this year. In the last six years, PPIAF activities FY 2024. Mainstreaming biodiversity in infra- catalyzed over $11 billion in private investment. FOREWORD structure development is critical for long-term sustainability. Under the program, we are developing tools and guidance to help policymakers, investors, To maximize our impact, we must continue to scale up. The wide-ranging expertise of PPIAF and its A Message from the and project developers integrate nature-based partners can unlock private sector financing to solutions and enhance ecosystem services in address the world’s most pressing infrastructure Program Manager infrastructure investments. challenges. But to do so, we need more resources. With strong donor support, PPIAF is well positioned We also continued our strong presence in Africa, to take on infrastructure development challenges. The need for infrastructure in development is vast, partnered with the Global Infrastructure Facility (GIF) where 35 percent of our newly approved activities especially in developing countries. Numerous crises, and the Private Infrastructure Development Group are underway. An increased focus on Southeast Asia We have built a strong foundation over the past two including a global economic downturn, tight (PIDG) to drive infrastructure development. has resulted in a growth in our engagement in the decades. Now is the time to reinforce and expand public budgets, climate impacts, and disasters— East Asia Pacific region to 22 percent. Across all our efforts to drive sustainable, equitable, and both natural and human-made—create an urgent In FY 2023, we approved 51 activities totaling $10.5 regions, over 55 percent of our activities took a pro- resilient infrastructure development. On that note, need for sustainable, resilient infrastructure. As the million across our four strategic pillars. We surpassed grammatic approach for greater development impact. I am pleased to share with you PPIAF’s annual report world’s only multilateral technical assistance facility our target to approve 50 percent of activities with for FY23, highlighting our key achievements. Through focused exclusively on enabling private investment climate co-benefits, achieving 65 percent, and an PPIAF has also made significant strides in mobiliz- our partnerships and with the invaluable support for infrastructure development, the Public-Private overall 84 percent with top-up support from our ing private investment. We assisted governments in from our donors, we are making progress toward Infrastructure Advisory Facility (PPIAF) has never Climate Resilience and Environmental Sustainability improving policies and regulations while building the our mission to catalyze private investment for infra- been more relevant. Technical Advisory (CREST). We are well on the way institutional capacity critical for preparing projects structure in emerging markets. I thank our donors to reaching a new, ambitious target—where climate with private participation in infrastructure (PPI). and partners for their continued collaboration. But PPIAF cannot tackle these challenges alone; co-benefits comprise at least 70 percent of our Downstream, initiatives like the City Creditworthi- partnerships are critical if we are to deliver results portfolio. Already, 19 percent of approvals include ness Program are helping subnational entities be- on the ground. PPIAF’s upstream work—addressing climate co-benefits. come investor-ready and access commercial finance. legislative and regulatory issues to create a better environment for public-private partnerships—only Going forward, PPIAF will focus on mainstreaming PPIAF played a pivotal role in catalyzing substantial counts when it leads to private sector investments in climate across its portfolio. We have already made private capital for infrastructure projects through its actual infrastructure projects. To this end, we have progress in this regard—a key highlight is our upstream support to four transactions, two of which Jane Jamieson 2 • PPIAF Annual Report 2023  •  3 A Message from One of our Donors GERMANY We live in a world where 75 percent of the infra- procurement guidelines, or weak private sector We take pride in PPIAF’s achievements to date. The governments but will structure that will be in place by 2050 has yet to be engagement policies) will negatively affect all German Federal Ministry for Economic Cooperation also enhance capacity built. This provides us with a range of opportunities the others. and Development has long supported PPIAF’s building for implementing to plan new infrastructure that is accessible, inclu- efforts to build robust institutions for infrastructure sustainable infrastructure sive, affordable, efficient, and sustainable. High- Taking that systemic understanding of infrastructure planning and operation and mobilize private sector projects. This will represent an quality infrastructure is key for our goal of a socially as a starting point, the G7 launched the Partnership involvement worldwide. Since its inception, PPIAF important building block of PGII and ecologically just economic transformation. At for Global Infrastructure and Investment (PGII) has undertaken over 1,727 activities in 131 countries. engagement in these countries. the same time, the world faces numerous crises: the during the 2022 G7 Elmau Summit. The PGII rep- Its enduring history and consistent funding from consequences of the COVID-19 pandemic, climate resents a collective commitment by the G7 countries donors like Germany underscore the success of PPIAF has consistently taken a cooperative change, Russia’s invasion of Ukraine, inflation, to strengthen both public and private investments PPIAF’s ongoing work. PPIAF deployed $68 million approach with donors as well as with other poverty and economic inequality, and the substantial in sustainable, inclusive, resilient, and high-quality across more than 280 activities between 2018 and multilateral and bilateral infrastructure partners. loss of biodiversity. In particular, the economic infrastructure. Through this collaborative endeavor, 2022, mobilizing $9.4 billion for national and We are pleased to observe PPIAF’s ongoing collab- impact of these multiple crises threatens much of the G7 seeks to mobilize $600 billion by 2027 with the subnational infrastructure projects. The German oration with the GIF and the International Finance the development progress made in recent years. aim of bridging the investment gap in infrastructure federal government recently provided PPIAF €3 Corporation (IFC). This collaboration in different across partner countries. million and an additional €3 million as part of its countries and sectors or on knowledge products What insights can these concurrent crises offer us PGII contributions. such as the recent Climate Toolkits for Infrastructure for the infrastructure of tomorrow? The PGII objectives not only include selected flagship PPPs ensures that our efforts are aligned for the projects but also prioritize long-term sustainable By adopting a demand-driven approach, PPIAF plays benefit of partner countries. We understand that Just as multifaceted crises are intertwined, infra- development through policies and other upstream a vital role in laying the foundations for high- progress can only be achieved by simultaneously structure operates as an interconnected entity that support, such as promoting the adoption of stan- quality infrastructure that can drive prosperity as addressing all components of the broader infra- transcends the boundaries of individual sectors or dards, bolstering local capacities, and collaborat- well as economic transformation in partner countries. structure system and look forward to continued specific lifecycle phases. It extends beyond individu- ing with partner governments to establish project With Germany’s additional funds, PPIAF will identify close collaboration with PPIAF. al physical assets to encompass intangible services, pipelines. This stems from the recognition that existing infrastructure gaps and help create favorable regulations, and policies. When planning, financing, creating an enabling environment for infrastructure conditions in a selected number of PGII partner building, and operating this complex infrastructure, in our partner countries is vital. The PGII collaborates countries. In the next two years, PPIAF will use some we therefore require a framework that embraces all with governments, the private sector, multilateral of these funds for the Africa Critical Upstream elements as integral components of a larger, unified development banks, and financial institutions from Initiative (ACUI). This initiative aims to identify key whole. If we don’t, one faulty or missing part in the G7 and like-minded partners to deliver top-tier barriers to sustainable infrastructure development. Dirk Meyer is Director General of the Federal Ministry the infrastructure system (for example, unsustain- infrastructure that aligns with the G20 Principles for It will also propose strategies to overcome these for Economic Cooperation and Development (BMZ) of able construction practices, non-transparent Quality Infrastructure Investment (QII). barriers in African partner countries. The ACUI will Germany, responsible for multilateral development not only analyze the challenges faced by partner policy, transformation, and climate. 4 • PPIAF Annual Report 2023  •  5 to assess, analyze, and monitor the fiscal implicat- Cambodia to strengthen the overall PPP investment ions and associated risks arising from PPP projects. climate but also improve its PPP management This priority will be put into action through the capacity. The government is appreciative of the development of tools and a framework to collect support and the continuous collaboration from the relevant data and information, as well as through World Bank and PPIAF in strengthening the PPP capacity building. enabling environment, including providing inputs to and guidance on the PPP Law, the SOP documents, To obtain an in-depth understanding of those fiscal as well as other guidelines relating to fiscal risk risks that might affect current and prospective management. In addition, PPIAF has also provided A Message from projects, the government received technical assistance from the World Bank and PPIAF. Through technical support to the Ministry of Transport and Public Works (MPWT) in the transport sector One of our Beneficiaries various workshops and capacity building activities, the government, particularly the General Department with studies on the potential for increasing the participation of the private sector in the roads sector, THE GDPPP OF of Public-Private Partnerships (GDPPP) of the including the use of Output and Performance- Ministry of Economy and Finance, had the oppor- Based Road Contracts (OPBRC), and exploring tunity to strengthen in-house institutional capacity climate finance opportunities. Consequently, CAMBODIA and gain a better overview of how to strengthen the current framework to manage PPP-related fiscal risks. A key method to managing these risks is the applica- MPWT successfully tendered three packages totaling $52 million under the World Bank-financed Road Connectivity Improvement Project for the tion of analytical tools to assess the potential fiscal improvement and maintenance of 132 kilometers Over the past decade, Cambodia has made remarkable regulatory framework, clear institutional arrange- costs and risks arising from PPP projects. With this of national and provincial roads through OPBRC. progress in establishing an environment conducive ments have also been established to lead and manage knowledge, the government is now collecting data to PPPs, which play an essential role in fostering the PPP mechanism in the country, including propos- from ongoing PPP projects from relevant institutions The government looks forward to future collaborative contributions from the private sector to infra- ing policies, reviewing and managing PPP projects, to begin the digitalization process. This supports and learning opportunities with the World Bank structure development. In particular, the PPP Law as well as monitoring fiscal commitments and the monitoring of potential fiscal risks arising from and PPIAF. We remain ambitious in the pursuit of approved on November 18, 2021, provides private contingent liabilities arising from projects. these existing projects. The training provided by the creating a robust and attractive enabling environ- investors with sufficient incentives, protection, World Bank and PPIAF has proved invaluable and ment for PPPs in Cambodia, especially in the realm predictability, and new opportunities to participate The success of this conducive enabling environ- has helped the government develop a better under- of public infrastructure and service delivery. With in infrastructure projects. ment is reflected in the recently completed standing of international best practices and new the current positive economic outlook, there is no Phnom-Penh-Sihanoukville Expressway Project strategies to monitor, assess, and manage fiscal risks. doubt that this objective can be achieved in the Additionally, the government of Cambodia has that connects the capital city of Phnom Penh to the Cambodia looks forward to continued support from foreseeable future. successfully developed a set of standard operating deep-sea port city of Sihanoukville. This express- PPIAF, which may include an in-depth comparative procedures for PPP projects and other relevant guide- way project—the first in the country—contributes to study on the different types of termination payments, lines to increase transparency and ensure the timely Cambodia’s economic development by facilitating triggers, reasons, and rationale behind early termi- execution of PPPs. These detail the implementation transport, logistics, and tourism. However, to main- nation, and the different methods of termination process of PPP projects throughout the whole project tain this success and support other PPP projects that calculations based on international practices. cycle, from the project identification stage through have recently emerged in a manner that ensures H.E. Om Macthearith is Director General of the General to the implementation and management of contracts. fiscal sustainability, the government has prioritized The continuous partnership and support from Department of PPP (GDPPP) of the Ministry of Economy Along with policy formulation and the legal and strengthening its capacity and regulatory framework the World Bank and PPIAF have not only allowed and Finance of Cambodia. 6 • PPIAF Annual Report 2023  •  7 THE FIRST YEAR OF PPIAF’S RENEW STRATEGY This year marks the launch of PPIAF’s five-year private participation in infrastructure development Renew Strategy for FY23–FY27, which focuses on to help close the infrastructure gap. It focuses on ad- accelerating universal access to climate-smart, dressing those most pressing challenges while driving resilient, affordable, and inclusive infrastructure key enablers of infrastructure progress, aligning with through increased private sector participation (PSP). the World Bank’s priorities, including the Evolution 1 The strategy comes at a critical time when the world Roadmap and the Sustainable Development Goals continues to face unparalleled challenges. These in- (SDGs). In FY23, PPIAF successfully aligned its pro- clude Russia’s invasion of Ukraine, the global energy gram around its four strategic pillars, funding 51 new crisis, the mounting impacts of climate change, and activities with a total value of $10.5 million. PPIAF the ongoing recovery from the COVID-19 pandemic. also attracted significant co-funding—$9 million The World Bank recently estimated that low- and from other parts of the World Bank, including the QII middle-income countries need to invest $1.6 trillion Partnership, the GIF, and IFC; other international annually through 2030 in low-carbon, climate- financial institutions; and donor organizations. resilient infrastructure—4.5 percent of their GDP. This fiscal year, fragile and low-income countries With global crises squeezing budgets and unprece- accounted for 26 percent of PPIAF funding, and 65 dented demand for infrastructure, participation from percent of funded activities included climate co-ben- the private sector is essential. Governments need the efits. To further advance our climate agenda, PPIAF private sector’s financial, business, technical, and allocated $800,000 through CREST for 10 additional managerial resources to meet their ambitious devel- activities, enabling 84 percent of PPIAF activities to opment goals. PPIAF’s strategy aims to enable more incorporate climate adaptation and mitigation. PPIAF’s Strategic Pillars FY23 PILLAR 1 PILLAR 2 PILLAR 3 PILLAR 4 HIGHLIGHTS Improving competition, Accelerating Reducing risk, Mainstreaming efficiency, and PPI development increasing funding climate and accountability in and implementation and financing equity infrastructure markets in PPI programs Annual Report 2023  •  9 PILLAR 1 Improving competition, efficiency, and accountability APPROVED ACTIVITY PILLAR 1 in infrastructure markets GHANA DRIVER: Provide universal access to infrastructure and increase consumer welfare Mobilizing private investment to via affordability, market competition, and novel technology drive sustainable mobility in Kumasi Pillar 1 is driven by the need to provide universal into strengthening its capacity to oversee the access to infrastructure and increase consumer sustainable development of the hydropower Ghana’s rapid urbanization has led to mobility an optimal PPP welfare. In this space, PPIAF seeks to achieve sector, including the management and monitoring constraints and inadequate public transport systems structure for Kumasi. A greater affordability through increased competition of concession agreements. in its major urban centers. Kumasi, the capital of detailed financial viability in infrastructure markets and continued adoption the Ashanti region and the country’s second most analysis will be conducted to attract of technology and digitalization within network The following stories highlight activities approved, populated city, has a population of 3.5 million and competent, qualified private partners infrastructure and off-grid systems. To accomplish completed, and evaluated in FY23 under this pillar in is growing at 6 percent annually. Kumasi faces to the project. The team will also closely this, PPIAF promotes competition by offering policy greater detail. New activities in Ghana, Kazakhstan, challenges like urban sprawl, increased commuting identify gaps in laws, institutions, regulations, and planning support to create markets and providing and Mozambique are supporting the urban trans- times, and lack of connectivity between low-income and capacity that could hinder the implementation tools to encourage private participation, which leads port, information and communications technology areas and jobs. The aging, inefficient minibus fleets of complex BRT PPPs.  to increased efficiency and affordability. (ICT), and electricity sectors. A project completed in of the informal transport sector, which filled service Ukraine is enabling the government to better oversee gaps left by the collapse of public operators in the Beyond the analysis, PPIAF will provide hands-on In Indonesia, PPIAF assisted in reviewing the rail- PPPs, which will be critical for the post-war recon- 1990s, now provide unsafe, undependable transit.  inputs to strengthen the BRT business model and ways sector’s governance and business structure struction of infrastructure. The ex-post review of ensure close coordination between stakeholders. to attract PSP. PSP was also enabled in Bangladesh an activity funded by PPIAF in 2020 highlights how To improve mobility in Kumasi, the World Extensive workshops will substantially build through PPIAF-facilitated legal and regulatory port Ethiopia dramatically reduced the costs of mobile Bank launched the Kumasi Urban Mobility and capacity in the transport agencies that are lead- sector reforms. PPIAF supported the government internet services and greatly expanded access by Accessibility Project (KUMAP) in November 2022. ing the implementation of KUMAP. The activity is of the Lao People’s Democratic Republic (PDR) enabling competition. Aligned with Ghana’s goals to reduce poverty, expected to dramatically improve affordable mobility expand basic services, manage climate risks, and for the urban poor and significantly reduce emissions build resilience, KUMAP will support the develop- from Ghana’s old, inefficient transport fleet.   ment of modern, sustainable transport in the city. A key component of the project is a bus rapid This activity will demonstrate how strong public- $3.5M $4.5M $8M transit (BRT) system to be delivered through PPPs.  private collaboration and climate-smart transit Funds Co-Funding Total solutions can make urban mobility more sustainable, Deployed Leveraged Funding PPIAF is supporting KUMAP with technical assis- inclusive, and resilient. Ghana’s proactive reforms tance that will mobilize private capital for KUMAP’s and experience can then inform transport planning transformational BRT initiative. With PPIAF funding, across Africa for years to come. With PPIAF’s 17 20 11 experts will thoroughly review Ghana’s experience strategic assistance, Kumasi will serve as a model Approved Completed Evaluated implementing transport PPPs, rigorously assess vari- for accessible, modern public transport systems in Activities Activities Activities ous BRT procurement models, and recommend the region.  10 • PPIAF Annual Report 2023  •  11 APPROVED ACTIVITY KAZAKHSTAN COMPLETED ACTIVITY Bridging the digital divide UKRAINE Kazakhstan faces significant challenges in expand- PPIAF will support this effort by informing the design Building government capacity to manage concession contracts ing access to high-quality and affordable digital of the grants scheme and conducting market out- connectivity. With over 40 percent of the population reach to the private sector. This will help maximize in rural regions, telecom operators struggle with the impact of the World Bank project in catalyzing Ukraine’s critical infrastructure has long faced The turmoil of Russia’s invasion of Ukraine has the high costs of deploying infrastructure across private investment.  immense challenges, which have only worsened demonstrated the value of this approach. With the Kazakhstan’s vast and sparsely populated territory. since Russia’s invasion of Ukraine. Before February Russian military targeting strategic infrastructure This has led to a pronounced rural-urban In parallel, the government of Kazakhstan is working 2022, Ukraine pursued an ambitious reform agenda such as ports, the focus shifted to sustaining the digital divide.  to improve international connectivity and cybersecu- focused on PSP in infrastructure. PPIAF provided concession relationships in times of crisis. PPIAF rity through a new subsea cable linking Kazakhstan early support to help establish Ukraine’s PPP Agency provided timely guidance on invoking Force Majeure The country’s institutional environment constrains with Azerbaijan. Backed by funding from the GIF, and develop a pipeline of potential projects. clauses, recalculating concession payments, and competition and private investment in the sector. preliminary studies and market research have been extending contract timelines. This was crucial for The telecom market is dominated by state-backed undertaken for this trans-Caspian cable project.  Two years after the Olvia and Kherson port conces- the government to uphold concessionaire rights operators such as KT Corporation, which held sions were awarded, PPIAF assisted the Ministry of and obligations amidst the unrest. 66 percent of the market in 2021. Additionally, By boosting international capacity, this new infra- Infrastructure and the PPP Agency in designing a Kazakhstan lacks an independent telecom structure can enhance connectivity in Kazakhstan monitoring system to oversee the concessions during Ongoing engagement with concessionaires has been regulator—the Ministry of Digital Development, and reduce dependence on routes through Russia.  the first critical years of operation. These ports have critical, signaling Ukraine’s commitment to restoring Innovation and Aerospace Industry provides been operating under concession agreements with operations when feasible. Though physical assets oversight of the sector.   PPIAF and the World Bank aim to transform private partners aimed at modernizing operations require rehabilitation and commercial terms may Kazakhstan’s digital landscape through this multi- through PPPs. While Russia’s invasion of Ukraine has need renegotiating, the concession relationships To address these issues, the World Bank is launch- faceted engagement. By mobilizing private capital halted port activities, Ukraine has worked diligently remain intact. The private partners and government ing a new project to mobilize private capital to and expertise, they can help the government expand with concessionaires and development partners to entities continue collaborating and monitoring deploy climate-smart broadband networks. The access to high-quality broadband for millions of sustain these partnerships for the future.  developments, ready to resume operations when project will provide matching grants to qualified underserved citizens. At the same time, support Russia’s invasion of Ukraine ends. internet service providers and mobile operators for emerging infrastructure like the Caspian cable The concession agreements laid out a framework for to co-fund infrastructure deployments in under- will fortify Kazakhstan’s long-term digital monitoring financial, operational, and property mat- Ukraine has demonstrated remarkable dedication served areas.  development efforts.  ters to facilitate implementation and identify issues to its reform agenda. Its efforts to preserve partner- early on. Regular meetings were held between the ships with private port operators, with support from concessionaires, grantors, and stakeholders to review PPIAF and the World Bank, will be essential for performance, address challenges, and ensure smooth recovery and building back better infrastructure. operations. PPIAF’s support enabled effective over- Sustaining engagement with concessionaires also sight during this startup phase, allowing productive sends a powerful signal—that Ukraine remains long-term partnerships at these strategic ports. These open for business, and private investment will efforts also supported IFC’s work addressing techni- continue driving modernization and growth cal, legal, communication, and regulatory issues. when peace returns. 12 • PPIAF Annual Report 2023  •  13 commercial responsibilities of ETA and Ethio new operators under the World Bank’s $200 million Telecom and foster an environment that encouraged Ethiopia Digital Foundations Project, which covered competition. To execute this strategy, the Ethiopian ECA’s start-up costs and provided support for government requested assistance from the World issuing licenses. Bank and PPIAF to help establish the new regulator, which allowed for the liberalization of the telecom- ECA was established under the Communications munications sector in the country and create Services Proclamation No. 1148/2019, underpinning opportunities for competition and investment. the liberalization of the telecommunications sector in Ethiopia. Since its establishment, ECA has been PPIAF, in cooperation with the GIF and IFC, helped effective as an active, independent regulatory establish the Ethiopian Communications Authority authority and has created opportunities for EVALUATED ACTIVITY (ECA) as an independent telecommunication competition and investment and passed regulations regulator. Their assistance included inputs to the on quality of service, tariffs, licensing, consumer law that established ECA in 2019, as well as a sector rights and protections, and national roaming. ETHIOPIA “white paper” that informed the sector reform on four main areas of action: 1) development of the ECA issued its first license to a private operator Telecommunications reform and Communications Law to establish the regulator, in April 2021, following a competitive bidding expanding access to mobile ICT services 2) initiation of the partial privatization of Ethio process launched in October 2020 supported by Telecom, 3) initiation of the market liberalization IFC and the GIF. The license was awarded to a process and selection of the second operator, and consortium led by Safaricom, which bid $850 Today, few countries retain a national monopoly Although the government of Ethiopia had long 4) corporatization of Ethio Telecom. million for the license and pledged to invest in the telecommunications sector. Ethiopia was one maintained state ownership of enterprises in $8 billion in telecommunications infrastructure of the last holdouts—as of 2018, the Ministry of strategic sectors like telecommunications, its PPIAF also provided capacity building for MCIT over the following 10 years. Safaricom began Communication and IT (MCIT) had oversight over position changed with the appointment of Prime and the new regulator. Officials from Ethiopia operating in Ethiopia in October 2022, and as of both the Ethiopian Telecommunications Agency Minister Abiy Ahmed in May 2018. In June 2018, and other African countries attended a three-day September 2023, they reportedly had 4 million (ETA), the regulatory authority for the sector, Prime Minister Ahmed declared that Ethiopia would training event in Nairobi hosted by the United States subscribers; Ethio Telecom has around 70 and Ethio Telecom, the state-run telecom operator liberalize its economy to spur competition in several Telecommunication Training Institute. The training million subscribers. responsible for developing, operating, and maintain- critical sectors, including telecommunications. covered the role of an independent telecommunica- ing fixed, mobile, internet, and data communication The main challenge for the government was transi- tions regulator, licensing frameworks, and regulatory Customers have seen an increase in the quality services in the country. tioning from a fully government-owned and regulat- best practices to encourage investment. Stakeholder of service because of the sector reforms. In May ed telecommunications sector to a competitive, well- consultation workshops were also held in Ethiopia 2022, Ethio Telecom introduced 5G services for Under the national monopoly, Ethiopia’s telecommu- governed market with a legal and regulatory frame- to support ECA, MCIT, the Ministry of Finance, the first time in Addis Ababa to improve services nications sector performed poorly and regulation work shaped by global and regional best practices. and Ethio Telecom’s move toward liberalization before Safaricom entered the market. Prices for and oversight of the sector were minimal. Innovation of the sector. customers have since fallen. The price of unlimited was stifled, network expansion was constrained, and Among the reforms planned was the establishment mobile internet in March 2023 was about $19 the scope of services offered remained limited year of an independent telecommunications regulatory PPIAF’s support was critical for establishing ECA’s per month, whereas previously, it had been as after year. agency that would “unbundle” the regulatory and legal foundation. This led to further work in licensing high as $100 per month. 14 • PPIAF Annual Report 2023  •  15 PILLAR 2 Accelerating PPI development PILLAR 2 and implementation APPROVED ACTIVITY DRIVER: Accelerate the “conversion rate” of initiatives into capital mobilization INDONESIA and better infrastructure services by tailoring support to build frameworks, capacity, and institutions to develop PPP projects Engaging the private sector for irrigation Activities under Pillar 2 aim to mobilize capital In the Philippines and Kenya, PPIAF is improving The government of Indonesia wants to improve the sector. The roles of all and improve infrastructure services by providing regulatory frameworks and developing local PPP quality and coverage of irrigation services but lacks stakeholders, including the tailored support that builds and strengthens PPP programs. In Tanzania, we are strengthening PPP the capacity and resources to sufficiently invest in private operator, MPWH, and frameworks, capacity, and institutions. This is an institutions and supporting project preparation. In and manage irrigation infrastructure. Engaging the farmers, will be clarified. ongoing process. As most emerging economies Senegal, PPIAF is working on getting their newly private sector through PPPs could leverage external • Proposing criteria for MPWH to have now adopted PPP frameworks, PPIAF will established PPP fund off the ground. And in Timor- financing and expertise to enhance irrigation system identify suitable locations based on continue building capacity and helping PPP Leste, PPIAF is assisting in the preparation of a operations. The government is planning to outsource financial, technical, climate, and other frameworks mature as markets evolve, especially decree that will allow for a PPP concession for the irrigation operations and management to private factors. PPIAF will synthesize inputs from the in frontier markets. This will help client countries expansion of Dili Airport. The following stories operators. A new PPIAF-funded activity is supporting private sector in developing the proposed criteria. transition from establishing PPP frameworks to illustrate new activities in Indonesia (water and the Ministry of Public Works and Housing (MPWH) • Developing a financial model by analyzing realizing fully operationalized PPP programs. In sanitation), Ecuador (waste management), Ghana in developing a PPP transaction model to do that. costs, revenues, and profit-sharing arrangements India, for example, PPIAF will develop PPP frame- (a completed project to build PPP capacity), and the This activity is being complemented by a grant to demonstrate commercial viability. Sensitivities works and strengthen the enabling environment ex-post review of a regional activity funded in 2020 from the QII Partnership that leverages technology and risk allocation will also be assessed. for renewable energy participation. aiming to leverage fiber optic capacity in West Africa. to improve governance and performance management. The transaction model will provide a framework that will allow MPWH to engage a transaction advisor and The model will be piloted in reservoir-fed irrigation structure the PPP. PPIAF’s advisory support, market systems and allow private operators to undertake intelligence, and financial analysis will inform the commercial ventures alongside irrigation, for exam- model design and pilot selection. This innovative ap- ple, fisheries, hydropower, solar power, or tourism. proach can improve irrigation services through per- This integrated approach can potentially enhance formance-based contracts while creating commercial $4M $2M $6M financial viability and attract private sector interest. opportunities and benefits for local communities. Funds Co-Funding Total PPIAF’s role includes: Deployed Leveraged Funding • Defining the PPP transaction model for The integrated model also leverages Indonesia’s outsourcing performance-based irrigation reservoirs and irrigation assets to attract private complemented by associated commercial expertise and investment. With PPIAF assistance, 20 13 3 services. PPIAF will ensure alignment with MPWH can develop new models for using PPPs to Approved Completed Evaluated Indonesian legislation and undertake market sustainably manage water resources and develop Activities Activities Activities sounding to get perspectives from the private inclusive agriculture. 16 • PPIAF Annual Report 2023  •  17 APPROVED ACTIVITY ECUADOR Beyond the landfills: A vision for sustainable waste management COMPLETED ACTIVITY Ecuador’s waste management sector faces major The roadmap will provide legal, institutional, and challenges—with only 6 percent of waste being economic analyses to guide subnational govern- recycled and only 54 percent of municipalities using adequate disposal sites. Reliance on illegal dumps ments in crafting bankable regional waste PPPs. By leveraging private expertise and investment, GHANA and inefficient infrastructure contributes to green- these PPPs can introduce cleaner technologies, Operationalizing PPP program support house gas (GHG) emissions, environmental damage, formalize recycling, improve climate resilience, and lost economic opportunities. and drive service efficiencies. Recognizing the private sector’s vital role in deliver- needs and public support required for 16 priority As waste management falls under municipal juris- The roadmap will position Ecuador to capture more ing critical infrastructure and vital services, the projects, providing training, recommending capacity diction, improving the sector requires enhanced emissions from landfills and enable it to attract government of Ghana has taken steps to develop building requirements, and incorporating guidance local capacity and financing. Although Ecuador has private sector investors as it pursues this goal. its PPP program. In 2011, it laid the groundwork from the Climate Toolkit for Infrastructure PPPs into a developed framework for private participation in Beyond reducing harmful emissions, implementing by developing a PPP policy. Further steps included PPP regulations to ensure alignment with national the delivery of public services, including PPPs and well-structured PPPs and concessions will contribute establishing sector-specific public investment units and international climate commitments. concessions, the mechanism has yet to be fully to the dissemination of global standards and include to appraise PPP projects, passing the 2020 PPP Law adopted by subnational governments. recycling facilities that reduce pollution and offer to provide a robust legal framework for the PPP In addition, PPIAF worked with Ghana’s PPP Unit improved employment opportunities for women. program, and establishing an institutional to develop wider PPP ecosystem improvements, To tackle these issues, PPIAF and the World Bank structure for PPPs. including the preparation of PPP guidelines, a are supporting Ecuador in developing a roadmap Ecuador’s Guayas region is a promising early part- framework for the management of fiscal commit- for regional solid waste management PPPs. This ner, having expressed interest in piloting a regional In support of the country’s infrastructure plan and ments and contingent liabilities, and implementation activity aims to provide a knowledge product that waste PPP. As the country’s largest metropolitan area, to effectively implement Ghana’s PPP program, guidelines for the Project Development Facility (PDF) guides subnational governments in developing Guayas offers an ideal proving ground for demon- the government requested PPIAF’s support to and Viability Gap Facility (VGF). and implementing regional waste management strating the potential of the PPP model in the solid systematically operationalize the new PPP Law services encompassing collection, disposal, waste management sector. Lessons from this effort and develop a strategy in line with the country’s Given Ghana’s constrained fiscal space, projects recycling, and treatment. can then inform similar initiatives across Ecuador. Infrastructure Plan. Specifically, it needed assistance with minimal viability gap requirements will be to prepare PPP regulations supporting the new law, prioritized. Smaller projects could be bundled build a sound pipeline of robust projects for PPP into larger packages to boost investor interest. financing, and strengthen capacity for public Furthermore, the government may need to assess entities to deliver PPPs. its capacity to support publicly funded projects; alternative financing sources may be required. PPIAF provided hands-on support to achieve several Market sounding can help assess private sector critical steps. These included supporting the devel- appetite. Incorporating climate adaptation and opment of instructions for Ghana’s PPP regulations, resilience into infrastructure investments will developing a strategic plan detailing the investment also be critical. 18 • PPIAF Annual Report 2023  •  19 PPIAF provided capacity building and international By designing a tailored PPP solution, PPIAF helped EVALUATED ACTIVITY best practices that enabled the client to draft interna- overcome regulatory hurdles to leverage idle infra- tional tender documents, concession contracts, and structure assets that can bridge connectivity gaps regulatory approvals to pave the way for the resale in OMVS member countries. This exemplifies WEST AFRICA of excess capacity of the fiber optic network. The PPIAF’s role as an effective facilitator, providing project team also assisted with capacity building just-in-time expertise to seize opportunities for Leveraging fiber optic and knowledge transfer. high-impact, sustainable project development. capacity through PPPs These efforts culminated in a successful open This progress is built on years of collaboration competitive tender in late 2020, awarding a 15-year with Economic Community of West African States Access to affordable and reliable internet connectiv- de Manantali (SOGEM), which provides electricity, PPP concession to a consortium with Senegal’s (ECOWAS) and its entities as well as other West ity remains a persistent challenge across many irrigation, and flood control for Mali, Senegal, and Sonatel, a telecommunications company, and Mali’s African regional institutions, such as OMVS, OMVG, countries in West Africa. In Mali, Mauritania, and Mauritania. The initial assistance identified models Envol Technologies, an IT firm. The partnership and UEMOA in the transport, energy, and telecom Senegal, the vast fiber optic network laid alongside to commercialize excess fiber optic capacity on established the wholesale operator, Ikasira, to sectors. PPIAF enabled client countries to adopt hydropower infrastructure represented a major OMVS’s network through PPPs. commercialize excess fiber capacity across borders. PPP models that align incentives and tap private opportunity to bridge this digital divide. However, sector efficiencies. Broadband expansion will support excessive regulations prevented fiber optic capacity Subsequent PPIAF support in 2016 helped This PPP is expected to unleash up to €33 million more equitable access to the digital economy across from being leveraged to its full potential. OMVS and SOGEM act on these recommendations. in cumulative revenues over 15 years, enabling borders, empowering rural communities. It also PPIAF recommended designing and structuring an further investments in the regional power grid while offers vital support for post-pandemic recovery Recognizing this untapped resource, in 2014 PPIAF innovative PPP concession to sell unused fiber expanding internet access. The additional broadband efforts in the region. This creative reuse of provided targeted support to OMVS, the regional capacity to a private wholesale operator. This capacity also promises to drive digital innovation and available resources demonstrates the power organization overseeing the hydropower and fiber aimed to boost affordable, regional connectivity provide vital connectivity for businesses, government of targeted reforms and partnerships to drive optic assets, and Société de Gestion de l’Energie and internet access, especially in rural communities. services, and citizens. sustainable development. 20 • PPIAF Annual Report 2023  •  21 PILLAR 3 Reducing risk, increasing funding, and financing in PILLAR 3 PPI programs DRIVER: Address risks arising from high debt burdens and low creditworthiness of public contracting parties, diversifying sources of funding and financing for infrastructure services, improving SOE and municipal creditworthiness, and developing long-term, local currency financing APPROVED ACTIVITY This pillar complements Pillar II by addressing PPIAF is helping Jordan’s Greater Amman Municipal- risks from high debt burdens and low public credit- ity assess financial sustainability as it takes on more PAKISTAN worthiness while mobilizing new funding and PPPs. In an environment of fiscal constraint, PPIAF is financing. PPIAF supports PPP debt sustainability mobilizing innovative financing approaches such as Unlocking the potential of public by providing guidance throughout the project cycle, land value capture for renewable energy in India. In assets in Khyber Pakhtunkhwa the development of sustainable long-term, local Kenya, it is supporting the development of viability currency financing, and builds capacity on available gap and contingent liability funds to more effectively financing instruments and novel funding sources. use public funds to leverage commercial finance. Effective public land management is critical in This activity promotes policies, institutions, Strengthening state-owned enterprises (SOEs) and rapidly urbanizing Pakistan. Public land stocks offer and models for efficiently using, managing, and subnational governments will be critical for achieving The following stories illustrate how new PPIAF key sources of land for planning green, livable cities monetizing public assets in Khyber Pakhtunkhwa. financial equilibrium. activities support public land management in and mobilizing financing for infrastructure amidst Success requires clear policies, inventories, Pakistan and operationalize the PPP Project high-density development. institutions, business models, governance, Under this pillar, PPIAF continues assisting SOEs Facilitation Fund established under the 2021 PPP reporting, and performance monitoring. PPIAF and subnational governments to improve credit- Law in Kenya. In Cambodia, an activity completed in The government of Khyber Pakhtunkhwa has been will support an assessment and recommendations worthiness through reforms, governance, investment FY23 is addressing PPP fiscal risk, while an evaluation discussing modernizing land administration with for improving policies, records, inventorying, planning, debt management, and, where needed, of an activity in Angola shows PPIAF’s impact on the World Bank since 2019. Despite postponing management, monetization, and operations for asset recycling and monetization. For example, mobilizing finance in the water sector. the land program due to floods, the World Bank is public assets. It will also develop a comprehensive implementing an initiative that provides analytical modernization plan to enhance public asset manage- and technical assistance on revenue generation. ment and unlock access to land. Success could lead to similar engagements across South Asia. $0.8M $0.03M $0.83M The World Bank’s initiative aims to review land Funds Co-Funding Total administration and public asset management in Enhanced public asset management in Khyber Deployed Leveraged Funding Khyber Pakhtunkhwa, focused on increasing revenue. Pakhtunkhwa can unlock access to land for It encompasses a revenue systems analysis, a public development, attract PSP, and mobilize financing asset management assessment, and the examination for provincial growth and climate resilience. This 5 10 9 of land administration and geospatial frameworks. PPIAF-supported activity promotes improved Approved Completed Evaluated PPIAF funding specifically supports the public asset policies and modern systems for strategically Activities Activities Activities management component. leveraging public assets. 22 • PPIAF Annual Report 2023  •  23 APPROVED ACTIVITY KENYA Innovative approaches to bridge the infrastructure gap Kenya aims to transform its infrastructure landscape to develop the final strategic business plans for by 2030 as outlined in its Vision 2030 development each window. plan. PPPs are a key mechanism for closing the estimated $2.1 billion annual infrastructure financing The outcome will be strategic business plans enabling gap. To strengthen PPPs in Kenya, the World Bank the PPP Directorate to operationalize the VGF and has provided assistance to Kenya’s PPP Directorate CL windows of the PFF. This will allow the effective through its Infrastructure Finance and Public- allocation of resources for the specific purposes of APPROVED ACTIVITY Private Partnership Project. PPIAF has contributed VGF and CL. Operationalizing the funding windows by supporting the government’s institutional and will also boost private investment confidence and technical capabilities through technical assistance. participation through proactive disclosure of climate risks. CAMBODIA Recent progress includes establishing the PPP Project Strengthening PPP fiscal risk management Facilitation Fund (PFF) under the 2021 PPP Act to PPIAF’s assistance builds on years of collaboration support the preparation and implementation of PPP with Kenya’s PPP Directorate to establish robust projects in Kenya. The PFF contains two windows— capabilities and sound regulatory frameworks. Its PPPs are seen as an important tool to help meet will be provided on establishing a PPP project the viability gap funding (VGF), which helps bridge support of strategic planning and climate integration infrastructure investment needs in Cambodia. database to collect data for fiscal risk manage- the financing gap between the cost of PPP projects will activate and optimize these instruments. However, PPPs can also create substantial fiscal ment. Workshops will also build capacity on PPP and the expected return by the private sector, and commitments and contingent liabilities for govern- contingent liabilities.  the contingent liabilities (CL) window to manage With targeted expertise in operationalizing innova- ments. Effective monitoring and management of contingent liabilities that may emerge from PPP tive PPP financing tools, PPIAF’s work is providing these fiscal risks is therefore critical. The Ministry The desired outcome is for GDPPP staff to have projects. The government expressed its commit- Kenya with the building blocks it needs for sustain- of Economy and Finance and the General Department the skills to interpret PFRAM results and integrate ment to fully operationalize the PFF. able infrastructure development. Mobilizing private of Public-Private Partnerships (GDPPP) aim to them into overall government fiscal risk monitoring. investment through PPPs will be crucial for Kenya to strengthen their capacity to better manage PPP Further goals are for GDPPP to implement guidelines PPIAF is providing targeted support by reviewing deliver Vision 2030. Operationalizing the VGF and fiscal risks. PPIAF is providing targeted support for PPP reporting and disclosure and establish a relevant PPP laws and regulations and consulting CL windows of the PPP PFF is crucial for enhancing to help agencies properly assess, monitor, forecast, PPP database within 12 months of the PPIAF with stakeholders such as the National Treasury, the access to improved infrastructure services. This is and report on fiscal exposures from PPPs, in align- support completion.   Public Debt Management Office, and contracting particularly important for the increasing number ment with broader fiscal risk management. Key authorities. The aim is to understand VGF and of social sector PPP proposals, such as student activities include advanced PPP Fiscal Risk With strengthened capacities to assess and manage CL expectations and align with international best accommodation, water treatment, and waste Assessment Model (PFRAM) training for GDPPP fiscal commitments from PPPs, Cambodia will be practices. Additionally, PPIAF is supporting the Ken- management, which have risk/return profiles staff and case studies.   better equipped to strategically leverage PPPs for ya PPP Unit in disclosing climate-related risks less attractive to private investors. sustainable infrastructure development. PPIAF’s Additional support will develop a PPP reporting targeted assistance facilitates the prudent use of and disclosure framework coordinated with the scarce public resources and builds the foundation public fiscal risk framework. Recommendations for responsible PPP implementation.  24 • PPIAF Annual Report 2023  •  25 partners would be essential to finance the project, but These evidence-based findings fundamentally Angola had limited experience structuring complex shaped the Bank’s approach. It was clear EPAL private infrastructure deals.  first needed commercialization before assuming substantial debt. A Performance Improvement To address these challenges, the government request- Plan was designed to curb water losses, enhance ed assistance from the World Bank to develop the metering and billing, improve service quality, and Bita Water Project as a PPP. The Bank saw immense optimize staffing.   potential to demonstrate how private finance could be catalyzed to upgrade essential infrastructure.   The EPC contracts were renegotiated to enable EPAL to share risks with contractors. Only then was EPAL’s Significant due diligence was a required first step creditworthiness enhanced enough to mobilize to assess whether EPAL could support substantial commercial finance. commercial debt despite its financial difficulties. And bankable contracts had to balance public stew- In 2019, IBRD approved a partial risk guarantee of ardship with private sector discipline appropriately.  $500 million, which backed a commercial loan of EVALUATED ACTIVITY $910 million for the $1.1 billion Bita Water Project. Here, PPIAF played an instrumental role in laying This pioneering deal was the Bank’s first guarantee the groundwork for mobilizing commercial finance. in the water sector and demonstrated the power ANGOLA PPIAF supported vital diagnostic work by the World of PPPs to bridge funding gaps for sustainable Bank to better understand the technical and financial infrastructure.  Unlocking financing for water relief challenges faced by EPAL. This evidence would prove pivotal in designing a sustainable solution.  Ongoing engagement supports EPAL’s turnaround under the performance plan. Metering and bill Luanda, the rapidly growing capital of Angola, has water, which took time away from work and school. PPIAF’s analysis revealed that EPAL’s shortfalls collection have advanced considerably, reducing seen its population grow by 4.5 percent annually, Contaminated water from tanker trucks posed health resulted not from insufficient revenue, but from non-technical losses by 25 percent between 2018 putting immense strain on its water infrastructure. risks, especially for children. The congestion caused operational inefficiencies. Most glaring was EPAL’s and 2021. Water sales revenues rose to 7 percent, In 2016, only 59 percent of Luanda’s over 5 million by roving tanker trucks further choked Luanda’s failure to adequately meter, bill, or collect customer and operating margins nearly doubled.  residents had access to piped water, and 25 percent already overburdened roads.  payments. Records were patchy at best, while relied upon makeshift delivery by inefficient and enforcement was lax.   With improved cost recovery, EPAL was able to costly tanker trucks to meet basic needs.    Recognizing the urgent water crisis, Angola’s meet its financial obligations under the Bita deal. 2018–2022 National Development Plan prioritized Physical water losses exceeded 50 percent due to Construction has begun on the pipeline and Angola’s state-owned water utility, EPAL, was not upgrading the capital’s decrepit water infrastructure. damaged and leaking pipes. Poor maintenance led distribution centers of the Kwanza River intake. equipped to address these issues financially or The ambitious Bita Water Project was launched to to intermittent supply, requiring rationing. Weak On completion in 2025, 2.5 million Luandans will operationally. After years of low tariffs and poor construct a new treatment plant, transmission mains, commercial management prevented EPAL from benefit from piped water connections.   collections, EPAL became dependent on heavy reservoirs, and distribution centers. Upon comple- recovering its actual costs or financing investments.  subsidies. Excessive water losses neared 50 percent, tion, 2.5 million Luandans would benefit The Bita Water Project showcases how innovative while breakdowns and intermittent service were from reliable, affordable piped water.  PPIAF also assessed the preliminary Engineering, project structuring can unlock private finance. EPAL’s routine, requiring rationing in many neighborhoods.    Procurement and Construction (EPC) contracts commercialization and enhanced creditworthiness However, the project’s $1.1 billion price tag exceeded for Bita signed between EPAL and contractors. The were prerequisites to attract commercial partners The human toll of the water crisis was significant. public resources. After the 2014 oil crash, Angola’s terms were grossly imbalanced, allocating excessive and mitigate risks. The IBRD guarantee proved Many citizens had to spend hours each day collecting finances were severely constrained. Commercial construction risk to EPAL.  pivotal in bridging the viability gap.  26 • PPIAF Annual Report 2023  •  27 PILLAR 4 $2.2M $2.5M $4.7M Mainstreaming Funds Co-Funding Total Deployed Leveraged Funding PILLAR 4 climate and equity 9 16 2 DRIVER: Dramatically increase climate adaptation, climate mitigation, biodiversity Approved Completed Evaluated protection, and gender equity in privately delivered infrastructure Activities Activities Activities This pillar addresses the urgent need to address In addition to this mainstreaming approach, PPIAF climate adaptation, mitigation, biodiversity targets interventions that push the boundaries of protection, and gender equity in infrastructure climate and gender in private infrastructure develop- developed by the private sector, particularly in ment. For example, in Vietnam, PPIAF will support APPROVED ACTIVITY fragile states. Key trends show bankability will the implementation of the low carbon financing be increasingly defined by resilience and sustain- program that will allow a reduction of carbon emis- ability. In line with increasing efforts towards build- ing a livable planet, biodiversity considerations are sions and cost of operations for Ho Chi Minh City and leverage voluntary carbon markets. In Ghana, PPIAF STEERING MARITIME TRADE also becoming increasingly key to bankability. will support building government officials’ capacity Towards a greener horizon to help them monitor their first non-revenue water PPIAF will accelerate mainstreaming climate, performance-based contract. In Indonesia, PPIAF will adaptation, and biodiversity in its portfolio, help PT Perusahaan Listrik Negara (PLN, the national The oceans have long served as the main pathway for Green ammonia and green hydrogen could offer building on the impact of activities funded energy utility) develop environmental, social, gov- global trade, with up to 90 percent of goods moving a solution to the industry’s transition to net zero. through CREST, a special technical assistance ernance, and green financing frameworks, as well as by ship. However, shipping generates substantial These are produced using renewable energy sources, funding window offered by PPIAF to support inte- corporate policies, targets, guidelines, and processes. GHG emissions—if it were a country, it would be replacing carbon-intensive methods, resulting in grating climate risk management and environmental This will enable the company to raise market-based the sixth biggest polluter on the planet. minimal or zero GHG emissions. However, market- sustainability into infrastructure PPPs. This fiscal green financing for required investments to achieve based mechanisms would be required to support the year, 65 percent of PPIAF-approved activities had Indonesia’s net-zero target by 2060 or earlier. Without action, the situation will only get worse. adoption of these fuels. In FY23, PPIAF provided climate co-benefits. PPIAF allocated $800,000 By 2050, GHG emissions by the shipping industry financing to help Colombia, Morocco, and South through CREST to incorporate climate adaptation The following stories demonstrate PPIAF’s approach could grow as high as 130 percent from 2008 levels. Africa conduct fuel and port assessments and and mitigation in the remaining eligible activities in this space. New activities address water loss in develop a roadmap for reaching net-zero emissions. and, as a result, climatized 84 percent of its portfolio. Jamaica, biodiversity protection and wastewater In 2023, the members of the International Collaboration with industry will be imperative for management in Bangladesh, and the environmental Maritime Organization, which oversees global On a global scale, the activities support improve- exploring biodiversity, sustainability, resilience, impact of maritime trade. A completed project is shipping, unanimously agreed that the industry ments to the Port Reform Toolkit. These provide and financing standards. This pillar is cross-cutting enabling renewable energy to be deployed in the should aim for net-zero emissions by 2050. By 2030, guidance to governments and port authorities to as climate and gender continue to be mainstreamed Pacific region. On the climate and gender cross- 5–10 percent of the energy mix should be made up ensure that port infrastructure modernization across the entire PPIAF portfolio, enabling it to cutting front, one activity is providing governments of fuel and technologies that produce zero or near- furthers net-zero commitments while meeting innovate at the forefront of climate and gender with tools to develop climate PPPs, while another zero emissions. Furthermore, the strategy calls for future demand. This will enable countries to in infrastructure. showcases PPIAF’s approach to gender considerations implementing GHG fuel standards and pricing continue developing international shipping ways in the urban transportation sector. mechanisms by 2027. that are kinder to our planet. 28 • PPIAF Annual Report 2023  •  29 APPROVED ACTIVITY BANGLADESH Supporting wastewater PPPs for a cleaner, climate resilient Dhaka APPROVED ACTIVITY Greater Dhaka, home to 18 million people, contrib- potential PPPs that can be supported by the Dhaka JAMAICA utes over one-third of the country’s GDP. Economic Rivers Project, the development of action plans opportunity attracts significant rural migration and for three projects, capacity building for managing Reducing water losses through stimulates industrialization. Both the population and wastewater PPPs, and analyses. performance-based contracts businesses rely on the city’s network of rivers and canals, which provide livelihoods and services such To illustrate, in collaboration with the Bank and IFC, as transport and drainage. PPIAF-supported analytics and stakeholder engage- Jamaica struggles with high levels of non-revenue PPIAF is now supporting NWC to ment led to a proposal for an 18-year, $150 million water (NRW)—water produced but lost before lay the groundwork for successful However, the city sits on a low-lying delta, making Gazipur City wastewater management PPP, providing reaching consumers, primarily due to leaks. NRW NRW-focused PBCs. PPIAF will provide it highly vulnerable to climate threats like flooding, for a wastewater treatment facility, a fecal sludge averages over 75 percent nationwide, with physical advisory services to help NWC craft an rising sea levels, and industrial pollution. Effective plant, a sewer network, and vacuum trucks for de- losses accounting for 59 percent of production effective contracting strategy, conduct procure- river management, therefore, is critical for the city’s sludging to service over 1.4 million residents by 2045. and commercial losses of 16 percent. This strains ment, and monitor contractor performance. continued climate resilience, quality of life, and Jamaica’s water resources, especially as climate economic growth. The World Bank team is also conducting economic change exacerbates drought risks. The activity focuses on designing PBCs that leverage assessments of proposed PPPs and developing project private sector innovation and efficiency to slash To address Dhaka’s wastewater management plans for additional wastewater investments in Consequently, the National Water Commission NRW rates. This will significantly curb water losses, challenges, the government of Bangladesh in Dhaka’s surrounding cities. The Gazipur wastewater (NWC), Jamaica’s main water utility, faces substantial boost revenues, and improve service delivery for collaboration with the World Bank launched the PPP transaction structure was approved in March technical and financial losses from NRW. The utility Jamaicans. At the same time, well-structured Dhaka Rivers Ecological Restoration Project. It aims 2023, and IFC expects to begin the tendering process supplies 190 million gallons of potable water each performance metrics and oversight will ensure to improve wastewater management and enhance by the end of the year. Under the activity, other day to more than 400,000 registered accounts contractors stay on track to meet targets. water flows in rivers and canals in and around Dhaka potential PPPs that support the restoration of representing about 2 million people across the City. This is in line with the city’s master plans and Dhaka’s rivers will be explored. country. However, its ambitious transformation Moreover, this initiative can be replicated and scaled a new Umbrella Investment Program being finalized program has been impeded by a lack of the capacity up across the country. As a global leader in PBCs, by the government. Through this support, PPIAF is tapping into private and equipment needed to significantly reduce leaks. PPIAF will draw on lessons from its experience to sector expertise and financing to help Bangladesh shape knowledge products that promote effective Building on upstream work by the 2030 Water improve wastewater management. This will restore To tackle this challenge, NWC is exploring NRW-PBC models worldwide. Resources Group, PPIAF supports the project by Dhaka’s river ecology and strengthen climate performance-based contracts (PBCs) with private providing technical assistance to the Ministry resilience, which will enhance the quality of life contractors. Through PBCs for NRW reduction, By blending private sector participation with of Local Government and the PPP Authority. for millions in one of the world’s most densely contractors take on leak detection and repair public oversight, NRW PBCs offer Jamaica a Activities included a rapid assessment of populated cities. activities in a designated area and are paid based promising solution for transforming water service on performance metrics like lowering NRW. This sustainability. With PPIAF’s guidance, NWC can incentivizes efficient work while transferring risks pioneer an approach to reduce losses and substan- away from the utility. tially improve water service resilience nationwide. 30 • PPIAF Annual Report 2023  •  31 Public Disclosure Authorized COMPLETED ACTIVITY CROSS-CUTTING ACTIVITY Public Disclosure Authorized PACIFIC ISLANDS CLIMATE TOOLKITS Turning the tide with renewable energy Mobilizing climate finance Public Disclosure Authorized for sustainable infrastructure Pacific Island countries face major challenges combined with BESS, leasing of BESS, mini-grid transitioning to renewable energy systems. These concessions, and more. The report was shared with Climate change poses immense risks to infra- Public Disclosure Authorized island nations are highly vulnerable to climate the Pacific Power Association and the utilities of each structure and sustainable development. But it Climate Toolkits change but rely heavily on costly imported fossil Pacific Island country. Some larger power companies also creates opportunities for innovation to build for Infrastructure PPPs fuels. This leads to high emissions and a heavy now plan to incorporate the PPP models into their resilience and cut GHG emissions. As governments economic burden. Renewable energy can alleviate renewable energy strategies. face fiscal constraints, PPPs are vital to mobilizing these difficulties, but integrating solar and wind climate finance and technologies for low-carbon, technical specifications and contracts, tapping into power into their power grids requires overcoming The analysis will help Pacific Island countries fulfill climate-resilient infrastructure. climate finance, and evaluating climate credentials technical and financial hurdles. their Paris Agreement commitments to reduce in procurement. emissions by phasing out expensive imported diesel. Recognizing this potential, PPIAF developed the To address these issues, PPIAF supported an analysis Renewable mini grids and solar battery systems are Climate Toolkits for Infrastructure PPPs (CTIP3)— Practical resources like templates, checklists, and to determine options for integrating renewable starting to come online, slashing fuel costs and in collaboration with the GIF and IFC—to provide indicators facilitate the integration of climate energy and battery storage energy systems (BESS). emissions while increasing access to energy. practical guidance on systematically integrating considerations into bankable PPPs across critical The study mapped out PPP models tailored to the climate considerations across PPP project lifecycles. sectors. The toolkits help translate national climate context of each country. While each island faces unique circumstances, commitments into on-the-ground solutions by main- they now have common tools to achieve an The CTIP3 suite includes an Umbrella Toolkit, streaming climate into infrastructure PPPs. They The findings and recommendations were included energy future free of costly fossil fuel imports. published in 2022, which establishes the overarching provide a bridge to urgently needed finance and in a report that outlined various variable renewable With PPIAF’s support, Pacific Island countries methodology. This is complemented by five sector- skills for low-carbon, resilient development. energy scenarios with specific PPP structures. can transform their energy systems and become specific toolkits released in May 2023 covering Options included variable renewable energy models of sustainability. hydropower, solar and wind power, road transporta- Initial results are promising. The Umbrella Toolkit tion, water production and treatment, and ICT. was presented at major conferences such as COP27 and is being piloted in 16 countries. The sector- The toolkits aim to address climate uncertainty specific toolkits are also being piloted in several and risk in PPPs. With proper structuring, PPPs can countries and will be widely disseminated, including increase climate mitigation and resilience by leverag- at the upcoming COP28 in Dubai. ing private sector expertise in technologies and risk management. Well-defined, long-term contracts also The CTIP3 suite equips policymakers and investors provide stability against climate variability. to confront complex climate challenges through sus- tainable infrastructure PPPs. The actionable resourc- The sector-specific toolkits offer hands-on es empower practitioners to embed climate consid- guidance for planning climate-smart PPPs. This erations at each step of PPP delivery. With growing includes assessing emissions and climate risks, urgency to act, these toolkits unleash the potential balancing climate and affordability goals, allocating of PPPs to drive finance and technologies for the risks appropriately, translating climate decisions into transition to a net-zero carbon and resilient future. 32 • PPIAF Annual Report 2023  •  33 SPOTLIGHT ACTIVITY GENDER IN THE SPOTLIGHT Improving urban transportation for women in Sierra Leone In post-conflict Sierra Leone, poor infrastructure and PPIAF’s work directly informed the $50 million limited government capacity constrain mobility in World Bank Integrated and Resilient Urban Mobility the capital of Freetown. Public transport is provided Project (IRUMP) in Sierra Leone. The bus renewal by the state-owned SLRTC bus company and informal program, which requires private operators to HIGHLIGHT private mini-buses, taxis, and motorcycles. However, form companies and repay loans, is expected aging vehicle fleets, inefficient operations, and to leverage an additional $10 million in private inadequate regulation impair service. financing. PPIAF’s gender analysis shaped ON GENDER The government requested World Bank support to restructure SLRTC to improve efficiency and provisions for women’s safety and mobility in IRUMP’s design and helped establish indicators for measuring results. explore opportunities to attract PSP in the sector. Since FY 2015, PPIAF has been a leader in Indonesian Presidency in FY23, PPIAF’s approach PPIAF-funded studies provided critical diagnostics Despite delays, IRUMP continues to work toward incorporating gender into private infrastructure explores and demonstrates how addressing on the bus company, the legal and institutional the long-term goal of private participation in bus investment. From enhancing our capacity to project-related gender gaps can enhance the environment, and analyzed the user experience operations. PPIAF’s outputs will remain relevant understand the implications of infrastructure for overall sustainability of those projects. with a focus on women’s mobility constraints. while implementation is ongoing. women and girls to the implementation of the 100 percent gender-informed policy for PPIAF In FY23, PPIAF continued to incorporate gender Surveys and focus groups captured the opinions By evaluating mobility from a gender perspective, activities, gender is central to PPIAF’s approach. in all its activities and increased its gender main- of diverse public transport users. An astonishing PPIAF provided key diagnostics on Sierra Leone’s streaming capabilities through the PPP Gender 18 percent of women reported sexual harassment bus sector and informed World Bank transport From the primer Gender Equality, Infrastructure Toolkit, which will be published in early 2024. on public transport, and half cited physical violence investments. Its work spotlighted women’s and PPPs launched by PPIAF in 2019 to the The Toolkit will have practical guidance on how as the biggest barrier to using public transport. needs—paving the way for safer, more inclusive Preliminary Findings Report on Gender Inclusive to reduce gender gaps at all stages of the PPP Recommendations for addressing these problems public transit as IRUMP upgrades the system. Approaches in Private Participation in Infrastructure, project cycle to better design activities and included restructuring SLRTC into a regulator, PPIAF’s strategic support is catalyzing major produced by PPIAF and the GIF as an input to the achieve tangible results in this space for greater enabling private operators to contract services, infrastructure upgrades to benefit all Freetown G20-Infrastructure Working Group under the positive impacts. and establishing priority corridors. residents. 34 • PPIAF Annual Report 2023  •  35 Program Results in FY23 PPIAF PROGRAMS The Non-revenue Water Program promotes better practices for PBCs in NRW management. PPIAF The program is already demonstrating concrete results. With over 50 distinct activities totaling over has supported eight activities with total funding $16 million, PPIAF’s PPP Institutions Building PPIAF’s technical assistance and knowledge activities efficient, allowing for adaptability, rapid replication of about $4.5 million across various countries. Program has enabled over 40 countries to improve follow specific programmatic themes (see below) across countries, and the consolidation of lessons Ongoing activities include preparatory work for their legal and regulatory frameworks to unlock and are implemented using standard frameworks in real time. In FY23, PPIAF approved nearly NRW PBCs in Liberia, Tanzania, and Togo. The private participation in infrastructure. More than across countries in partnership with other $6 million (43 percent of total approvals) for program is demonstrating concrete results— 15 PPP laws, PPP regulations, and guidelines were organizations. This approach has proven to be five programs. Ethiopia awarded a four-year, €15.4 million, non- successfully adopted in Lao PDR, Panama, Senegal, revenue PBC contract and Ghana awarded a two- Tanzania, Vietnam, and at the regional level in year, $20.5 million contract to reduce 23,000 m /day 3 West Africa (ECOWAS). See the results brief here. of water loss. The City Creditworthiness Program (CCP) enables Phase I of the PPP Institutions Building Program, municipalities to attract private financing for their launched in 2020, undertook a global review of infrastructure investment needs. It identifies and upstream support for the PPP program. It aimed addresses obstacles to increase their creditworthi- to identify the drivers of success to improve PPP ness, for example, by strengthening the enabling program support using practical tools that can be environment at the national and subnational levels PILLAR 1 PILLAR 2 PILLAR 3 PILLAR 4 incorporated into a range of country engagements. and building government capacity. The initiative Two years of research confirmed there is no “one- was designed and implemented in collaboration with Improving competition, Accelerating Reducing risk, Mainstreaming size-fits-all” solution that will guarantee success. IFC’s municipal finance team. So far, the initiative efficiency, and PPI development increasing funding climate and accountability in and implementation and financing equity Key lessons were identified in capacity building, legal has completed 15 academies involving over 250 city infrastructure markets in PPI programs and institutional frameworks, project development governments and 600 officials from 26 countries. In and preparation, financing, and contract manage- India, the 2022 academy’s results were incorporated ment. This knowledge was distilled into a series of in the design of the new National Urban Mission. In Practice Notes. Phase 2 will continue in four areas: Indonesia, 13 subnational governments participating Energy Efficiency PPP Energy Efficiency and Climate Institutions and Climate dissemination and capacity building, fiscal commit- in the academy later borrowed funds from the gov- ments and contingent liabilities, establishing PDFs, ernment’s dedicated infrastructure financing facility and updating the framework for disclosure in PPPs. which is also supported by World Bank financing. Urban Long-Term Non-Revenue Mobility Local Currency Water Unconventional City Adaptation PPP INSTITUTIONS BUILDING PROGRAM AT A GLANCE Water Creditworthiness Finance* 50+ $16M+ 40+ 15+ Distinct Activities Total Countries PPP Laws Strategic Focused Areas PPIAF Funds *  To be launched in 2024. Source:  www.ppiaf.org/documents/6116, April 2023. 36 • PPIAF Annual Report 2023  •  37 SPOTLIGHT ACTIVITY ETHIOPIA & UGANDA Paving the way for pay-as-you-go financing for electricity CLIMATE & The lack of electricity access continues to plague Despite this progress, significant gaps remain. PAYGO ENERGY EFFICIENCY many rural communities across Africa. The overall initiatives intersect with policies and regulations electrification rate in Ethiopia, for example, stands spanning the electricity, finance, and information at 51 percent, with a massive disparity between and communication technology (ICT) sectors. These PROGRAM HIGHLIGHTS urban and rural areas. Urban households enjoy 96 percent electricity connectivity, but only 27 percent of rural households have access. frameworks were not designed to work with PAYGO technologies and business models. Establishing a favorable policy and regulatory landscape for the PAYGO sector could spur growth by attracting PPIAF & ESMAP: A Partnership Driving the As Ethiopia aims to achieve universal access by 2030 investment, mitigating risks, and fostering under its National Electrification Program (NEP) 2.0, responsible consumer financing practices. Transition to Clean Energy providing affordable and reliable off-grid energy to remote regions is crucial. NEP 2.0 adopts a mixed Recognizing these challenges, PPIAF stepped in approach, with 65 percent of connections to be to facilitate critical policy dialogue between govern- The climate crisis demands urgent action, but governance of SOEs—which often struggle to attract grid-based and the remaining 35 percent through ments, the private sector, and civil society in Ethiopia transforming energy systems requires private private finance—by addressing financial management off-grid solutions. Off-grid solar, especially solar and Uganda. The aim was to develop comprehensive sector expertise and investment—particularly in and governance issues. home systems with a pay-as-you-go (PAYGO) model, national “roadmaps” to create an enabling environ- developing countries, where access to climate is seen as a solution. PAYGO-enabled products to ment for PAYGO and solar home systems to financing is critical. To address these challenges, In FY23, PPIAF approved $1.2 million in climate follow a lease-to-own structure, allowing users to scale sustainably. since 2015, PPIAF has been working with the World activities and currently manages an active $7.7 repay the unit’s cost over time through installments. Bank’s Energy Sector Management Assistance million climate portfolio. The partnership will This approach reduces upfront costs and encourages The roadmaps establish a strategic blueprint for Program (ESMAP) on a joint climate program to increasingly focus on innovative financing solutions digital financial inclusion through services like advancing reforms through stakeholder coordination encourage PSP and attract commercial financing with cross-sector impact. This includes energy mobile money for repayment. and clear allocation of roles. Key government for renewable energy and energy efficiency projects. storage and electric vehicle charging to optimize entities in both countries have officially endorsed renewable power and exploratory work on These PAYGO-enabled solutions are pivotal in facil- these roadmaps, such as Ethiopia’s Ministry of PPIAF brings unique expertise that mobilizes green hydrogen. itating access to affordable energy, thereby contrib- Water and Energy and Uganda’s Ministry of private capital and improves the enabling environ- uting to the nation’s electrification targets, economic Energy and Mineral Development. ments for private participation in renewable The climate challenge is enormous, but so are the advancement, and digital development goals. Over energy, complementing ESMAP’s energy sector opportunities for improving energy efficiency. With two million solar products have been sold in Uganda With PPIAF’s support, Ethiopia and Uganda have reform engagements. PPIAF complements ESMAP’s supportive policies and targeted technical assistance, since 2014, with about half employing PAYGO financ- established foundations to unlock the full potential work by funding activities that enable private partici- private capital can be unlocked to accelerate the tran- ing. Despite the challenges posed by the COVID-19 of PAYGO solar energy to connect millions to pation in renewable energy, energy efficiency, sition to clean energy. The PPIAF-ESMAP partnership pandemic, more than 140,000 PAYGO-enabled off- affordable, reliable, clean electricity. The roadmaps and transport electrification. PPIAF also works demonstrates the power of collaboration to help grid solar products were sold in 2020, boosting energy provide a model for other African nations to create to strengthen the creditworthiness and financial developing countries shift towards decarbonization. access from 18 percent in 2017 to 38 percent in 2020. enabling environments for off-grid solutions. 38 • PPIAF Annual Report 2023  •  39 South Africa has built a robust policy foundation financing availability. Findings revealed that to support the transition to low-carbon energy. mainstream markets are not optimized for energy- SPOTLIGHT ACTIVITY The National Development Plan outlines a vision efficiency lending. Instead, an innovative, specialized for a low-carbon, resilient, and equitable society financing facility would offer the best path forward. by 2030. The Nationally Determined Contribution SOUTH AFRICA commits the country to a peak, plateau, and decline Based on these insights, recommendations Supporting a just transition trajectory for emissions. These targets are to be included establishing a dedicated revolving debt achieved through mechanisms like carbon taxation, fund tailored to the ESCO sector’s needs. This to low-carbon energy sector emission targets, and the scaling up of requires an organizational framework, a defined renewable energy and electric mobility. However, ownership and governance structure, management translating policy aims into actual implementation protocols, funding sources, a robust business model, South Africa’s power sector plays a central role in Consequently, the transition toward cleaner has proven challenging. and financing. A blueprint for execution envisions its transition to sustainable, low-carbon growth. renewable sources like wind and solar is essential. the fund becoming operational in approximately However, the state-owned utility, Eskom, is grappling To support South Africa in creating a dynamic energy 18 months. with operational, financial, and structural crises Working towards a just transition efficiency market, PPIAF has provided technical that threaten the entire sector. Key problems Shifting to a low-carbon trajectory is essential for assistance to South Africa’s Department of Mineral Unlocking the full potential of the ESCO sector could include aging generation assets, stagnating achieving the nation’s climate goals under the Paris Resources and Energy and the South African be a game changer for South Africa—it could address electricity demand, unsustainable debt burdens, Agreement. However, given coal’s role as a major National Energy Development Institute. The focus electricity shortages, reduce dependence on fossil revenue-cost mismatches, and weak governance. source of employment, the country needs a just was an analysis of the Energy Service Company fuels, and lay the foundation for a thriving energy This has led to frequent load shedding, which transition strategy that transforms the power system (ESCO) sector in the country that identified viable efficiency market that advances the country’s impedes South Africa’s economic progress. while also protecting vulnerable workers and com- pathways to develop it. ESCOs are an especially sustainable economic development. As South munities that rely on coal value chains. If harnessed impactful efficiency vehicle. They install upgrades Africa charts its complex course to a decarbonized As the world’s 14th largest emitter of greenhouse strategically, the transition offers significant oppor- like smart lighting, optimization of heating, ventila- future, robust engagement between government, gases, South Africa makes an outsized contribution tunities for job creation and investments—potential tion, air conditioning, and cloud-based controls that international partners, and the private sector will to global GHG emissions. Its overdependence on coal investments are estimated to be nearly $600 billion repay upfront costs through energy savings. remain indispensable. The World Bank and PPIAF’s has major climate impacts: it locks in high emissions, by 2030. Complementary policies can help displaced involvement illustrates the collaboration needed degrades local air and water quality, and leaves coal workers transition into new “green economy” The research assessed constraints on ESCO industry to implement a just and equitable the system vulnerable to supply disruptions. jobs through training and other support programs. growth while diagnosing key steps to enhance energy transition. 40 • PPIAF Annual Report 2023  •  41 SPOTLIGHT ACTIVITY MOZAMBIQUE Climate-smart solutions for Greater Maputo Mozambique’s Greater Maputo region has under- to establish the first BRT system in the city, which gone rapid population and economic growth in includes structuring bus concessions and building recent years. This urban expansion has led to in- AMT’s institutional capacity. PPIAF supported an creased transport demand and mobility challenges. analysis of the proposed BRT system’s commercial The movement of people and goods has risen and operational viability, under different climate sce- Paving the Road to considerably, resulting in worsening traffic con- narios using guidance from the CTIP3. Under current gestion due to road network constraints. Public average fare assumptions, the study found operators Sustainable Urban Mobility transportation relies heavily on privately operated would likely only cover operating expenses, with mini-buses known as chapas that are rented out to higher fares needed to finance capital expenditures. drivers who collect fares to cover costs. Larger buses Urban transportation systems in developing and North Africa region is creating frameworks to also operate but they overlap routes with the chapas. The assessment concluded that options like countries often struggle with informality, poor facilitate the adoption of electric vehicles. concessional financing rates, extended tenors, or service quality, and lack of sustainability. But well- The region, encompassing the cities of Maputo direct subsidies are necessary to ensure the BRT’s designed reforms can pave the way for modern, PPIAF is also contributing to efforts to electrify and Matola, along with the districts of Boane and viability at existing fares. PPIAF’s work provided equitable, and low-carbon mobility. The PPIAF paratransit vehicles like mini-buses and tuk- Marracuene, is projected to expand from 2.2 million pivotal insights for the Greater Maputo Transport Urban Mobility Program provides hands-on tuks. It assesses regulatory needs and provides residents in 2012 to over 3.7 million by 2035. Program, incorporating key recommendations on support for this transition. recommendations for institutional, legal, and BRT structuring, financing, and operations. regulatory arrangements required for e-mobility. While municipal authorities oversee transport A key focus since 2017 has been disseminating It also supports the development of PPP strategies planning and regulation, coordination issues Through targeted capacity building support, PPIAF lessons from initiatives to improve the financial to accelerate the transition. persist across the interconnected metropolitan equipped the nascent AMT with the foundation to viability of BRT systems—a major advancement area. This led to the establishment of the Maputo effectively coordinate and regulate the region’s over informal transit—in Sub-Saharan Africa. For Because of the climate crisis, cities must transition to Metropolitan Transport Agency (AMT) in late complex transport networks. The evidence-based example, drawing from its previous experience, inclusive, zero-emission transport. But this requires 2017 under the Ministry of Transport and viability study offered vital data to inform planning PPIAF began assisting Freetown, Sierra Leone, in overcoming technical and financial hurdles. PPIAF’s Communications. AMT is tasked with managing decisions tailored to the local context. formalizing its network of small-scale poda-poda on-the-ground support is helping cities lay the policy the master transportation plan for Greater Maputo. buses into professionalized companies capable of foundations, build institutional capacity, and access However, as a new agency, AMT needs support to With these building blocks now in place, Maputo delivering high-quality BRT services. finance. Its expertise catalyzes public-private define mandates, staffing, and financing frameworks, is well positioned to execute transformative collaboration for transformative change. and is positioned to administer bus route contracts upgrades to public transit systems. PPIAF’s support Another important development is the integration across municipalities in the region. also unlocked targeted World Bank financing and of electric mobility solutions. PPIAF is helping The path to sustainable urban mobility is complex. expertise at a crucial time to address the pressing Jakarta’s BRT agency review business models and But with targeted assistance, developing cities can Recognizing the need for technical expertise to mobility needs of Greater Maputo’s rapidly growing contracts to achieve its target for a completely leapfrog to efficient low-carbon systems. PPIAF’s advance these ambitions, the Transport Ministry population. The progress promises more sustainable, electric fleet by 2030 with participation from the work empowers cities to chart a course toward safe, and AMT sought World Bank assistance. The $250 inclusive, and climate-smart transport solutions private sector. Similar work in the Middle East clean, and affordable transit for all. million Greater Maputo Transport Program aimed for residents and businesses. 42 • PPIAF Annual Report 2023  •  43 KNOWLEDGE MANAGEMENT Public Disclosure Authorized PPIAF’s knowledge portfolio provides best practice PPIAF will continue supporting critical knowledge and guidance to help governments deliver resilient, and data resources such as the PPI database, which sustainable infrastructure and improve service has proven to be an invaluable benchmarking tool for delivery. PPIAF rolled out 13 publications in FY23, improving competition, efficiency, and accountability Public Disclosure Authorized including resources on the impact of digital and tech- in infrastructure markets. nical innovations in the transport sector, managing Does blockchain have a role in the financing of infrastructure? fiscal risks in infrastructure, climate tools for PPPs, PPIAF supported the development of a number data techniques to inform paratransit strategy in of innovative toolkits and high-traffic platforms Public Disclosure Authorized African cities, managing unsolicited proposals focusing on infrastructure PPPs and building (USPs), infrastructure tokenization, and more. capacity to scale infrastructure delivery. Public Disclosure Authorized PPP Legal Resources Center PPIAF has supported the PPP Legal Resources Center (PPPLRC) since its inception in 2006. This is the most comprehensive source of publicly available, free content on PPPs on the internet. It aims PPI Database Infrastructure Tokenization: to support governments and practitioners by providing Does Blockchain Have a Role in laws, regulations, toolkits, contracts, risk matrices, PPIAF has supported the PPI Database the Financing of Infrastructure? and checklists on good practices in PPPs. Site visits since 2007. This platform aims to identify and demonstrate the need and usefulness of the content: disseminate information on PPI in infrastructure The purpose of this report is to assess whether it consistently attracts about 70,000 unique visitors projects in low- and middle-income countries. digitizing the equity or debt financing used for infra- from over 200 countries each month and over 1 million It provides information on more than 100,000 structure projects using blockchain, that is, tokenized views per year. PPPLRC also serves as the platform infrastructure projects dating from 1984 to 2023. infrastructure, provides enough benefits to justify the where knowledge products produced by the Bank can be showcased to a large external audience. The site is Find it at The database highlights the contractual arrange- ments used to attract private investment, the use of this technology. The information presented here aims to inform policymakers and financiers on supported by PPIAF and other partners, including the African Legal Support Facility (ALSF) and the World Bank. The team is also in discussions with IFC Upstream for possible support. These partners are providing PPPLRC sources and destinations of investment flows, and information on the main investors. the potential use of tokenization for infrastructure projects. The conclusions are based on interviews with tokenization start-ups, experts, and the review of current and planned regulatory frameworks in financial and technical support to the PPPLRC website, selected jurisdictions and use cases and pilots to date. including the identification of key issues for PPPs Access at https://ppp.worldbank.org/public- and the provision of content for the site. private-partnership/ Access at https://ppi.worldbank.org/en/ppi Access the report at http://wrld.bg/zqcC50Q0F4l 44 • PPIAF Annual Report 2023  •  45 Public Disclosure Authorized Guidance on PPP Legal Frameworks OFF the 2022 Edition Public Disclosure Authorized BOOKS Improving paratransit in Maseru and Gaborone Strategic Investment INTERNATIONAL DE VELOPMENT IN FOCUS Public Disclosure Authorized Understanding and Mitigating the Fiscal Risks Using innovative data Funds techniques in a diagnostic Establishment and Operations of Infrastructure approach to inform strategy Shanthi Divakaran, Håvard Halland, Gianni Lorenzato, Paul Rose, and Sebastian Sarmiento-Saher Public Disclosure Authorized Matías Herrera Dappe Vivien Foster Off the Books: Aldo Musacchio Improving Paratransit in Maseru Strategic Investment Funds: Guidance on PPP Legal Frameworks Teresa Ter-Minassian Understanding and Mitigating the Burak Turkgulu and Gaborone: Using Innovative Establishment and Operations Fiscal Risks of Infrastructure Data Techniques in a Diagnostic Drawing on good practices and benchmarks, Approach to Inform Strategy Strategic investment funds (SIFs) have gained this Guidance serves as a resource for government Developing countries face massive infrastructure prominence over the past two decades as govern- officials in establishing suitable PPP legal frame- needs, but public infrastructure spending is This report shows how to improve urban mobility ments and other public sponsors globally have works. Designed as a succinct and easy-to-understand inadequate and declining. Rising debt and in cities in Sub-Saharan Africa through building increasingly co-opted the investment fund model practitioner’s guide, the Guidance does not cover tightening fiscal conditions further pressure incrementally on the existing paratransit sector, to further policy objectives. Since 2000, more than every possible aspect of a PPP legal framework or infrastructure funds, heightening the importance informed by innovative data techniques and data- 30 SIFs have been formed at the national level, analyze PPP’s advantages and disadvantages. Rather, of spending efficiency. Off the Books demonstrates driven diagnostics. It is based on assessments of typically to boost economic growth through infra- it sets out considerations and examples tailored to how infrastructure delivery models, including paratransit undertaken in Gaborone and Maseru structure or small and medium enterprise invest- a government’s specific circumstances. It provides public provision, state-owned enterprises, or PPPs, in Botswana and Lesotho respectively and aims to ments. The book provides a reference for policy guidance on drafting legislation, establishing the bear significant fiscal risks in both good and bad identity short-term, practical initiatives to improve makers who are creating or strengthening the oper- legal basis for PPP institutions, interacting between economic environments. As a result, infrastructure mobility in these cities. It summarizes the outcome ations of SIFs, particularly as governments examine the legal framework and wider legal system, and often costs more than expected, eroding fiscal of an in-field data collection in the project cities; the value of such funds as a policy instrument in the incorporating key budgetary, environmental, and space. This publication shows how the fiscal risks documents paratransit sector assessments of mobility aftermath of the COVID-19 pandemic, where little social policy objectives. This ensures fiscal sustain- of electricity and transport infrastructure in low- demand, constraints, and conditions; outlines the op- widely available, practice-based experience has been ability and green, resilient, inclusive development and middle-income countries can help target erating environment faced by the paratransit sector; documented and disseminated. are considered at all stages of a PPP project so that high-impact reforms and lays out an agenda for and proposes recommendations in policy, regulations, PPPs align with broader government objectives. taking action. infrastructure, and services in the local context. Access the report at http://wrld.bg/40Fi50Q0EZa Access the report at http://wrld.bg/JMSK50Q0F7r Access the report at http://wrld.bg/fUYx50Q3VsX Access the report at http://wrld.bg/nulW50Q3ZZt 46 • PPIAF Annual Report 2023  •  47 2 Since its inception, PPIAF has funded 1,727 activities in 131 countries. Global & Cross Regional 251 Activities Europe & Central Asia (ECA) 135  Country Activities 20  Regional Activities Middle East & North Africa (MENA) South Asia (SAR) 103  Country Activities 153  Country Activities 17  Regional Activities 19  Regional Activities Latin America & the Caribbean (LAC) 160  Country Activities 32  Regional Activities Sub-Saharan Africa (SSA) East Asia & the Pacific (EAP) 488  Country Activities 208  Country Activities FY23 122  Regional Activities 19  Regional Activities OVERVIEW 1– 9 10 –19 20 –29 30 – 39 4 0 – 49 50+ Annual Report 2023  •  49 In FY23, 51 activities were approved by PPIAF with a total value of $10.5 million. FY23 PPIAF Funding Allocation Funding Approved in Impact Countries 51 $10.5 In FY23, 49 percent of PPIAF total funding was allocated to impact countries. East Asia Pacific impact countries accounted for 35 percent of impact country funding in FY23. Indonesia received the most ACTIVITIES MILLION PPIAF funding at around $1 million, approved for five activities. The MENA region was the second- largest beneficiary, accounting for approximately 21 percent of approved funding. Jordan, another impact country, received the second highest amount at $510,000 for three activities. IMPACT COUNTRY TOTAL AMOUNT APPROVED NUMBER OF ACTIVITIES Colombia $  310,000 2 In FY23, PPIAF exceeded its annual targets. Djibouti $  300,000 1 India $  405,000 2 Approvals, Climate Co-benefits (50% target) Indonesia $ 1,050,000 5 Funding, Impact Countries (35% target) Jordan $  510,000 3 Funding, Programmatic Activities (30% target) Kenya $  300,000 1 Funding, Sub-Saharan Africa (35% target) Lebanon $  150,000 1 Funding, Fragile Countries (10% target) Malawi $  300,000 1 Funding, Low-income Countries Morocco $  150,000 1 14 % 12% Nepal $  140,000 1 Peru $  300,000 2 Philippines $  500,000 1 65 % South Africa $  150,000 1 37% Ukraine $  303,500 1 43 % 49% Vietnam $  300,000 1 Grand Total $5,218,500 24 Source:  PPIAF Work Plan FY23 50 • PPIAF Annual Report 2023  •  51 FY23 Work Program Technical Assistance Approved in FCV 15% 15% FCV Countries PPIAF Support Channeled 21% Energy & Climate Countries 6 Activities through Global Programs 5 Activities 85% $1,453,000 $1,210,000 Funding TOTAL 41% $2,764,000 Co-funding $9,939,950 85% Non-FCV Countries 40 Activities 41% PPP Institutions 6% Long-Term Local Building FUNDING Currency Financing $8,486,950 28% $5,808,500 12 Activities 1 Activity $2,408,500 Funding CO-FUNDING $350,000 Funding $6,471,000 $2,627,000 Co-funding $670,000 Co-funding 28% Urban Mobility 21% 6% 3% 3% Non-Revenue Water 6 Activities 1 Activity $1,640,000 Funding $200,000 Funding $330,00 Co-funding $80,000 Co-funding Global Activities by Pillar 33% 17% 33% Pillar 1 Global Knowledge 50% Pillar 2 GLOBAL Activities by Sector 67% 67% Multi-Sector 17% Pillar 3 4 Activities $400,000 50% TOTAL 33% $600,000 33% Energy 1 Activity $200,000 Technical Assistance 33% Pillar 1 by Pillar 17 Activities $3,516,450 Technical Assistance 16% Water 33% by Sector 32% 9 Activities 21% 38% Pillar 2 $1,630,000 20 Activities $4,038,500 7% TOTAL 32% Transport 13% Energy $10,539,950 16 Activities 30% TOTAL 5 Activities 7% Pillar 3 $9,939,950 $3,140,000 $1,260,000 5 Activities $785,000 30% Multi-Sector 9% 9% Telecoms 38% 12 Activities 16% 4 Activities 21% Pillar 4 $2,983,500 13% $926,450 9 Activities $2,200,000 52 • PPIAF Annual Report 2023  •  53 Technical Assistance by Pillars & Sector Technical Assistance by Region & Fiscal Year 100% REGION FY22 FY23 DIFFERENCE 18% 6% 26% 31% 18% SSA 59% 39% -20% Pillar 1 Energy Telecoms Transport Water EAP 9% 22% 13% 54% 31% 15% Pillar 2 Multi-Sector Transport Water ECA 5% 5% 0% LAC 9% 12% 3% 20% 54% 26% Pillar 3 Energy Multi-Sector Water MENA 8% 11% 3% 30% 27% 36% 7% SAR 9% 11% 2% Pillar 4 Energy Multi-Sector Transport Water Technical Assistance by Pillars & Region Technical Assistance by Region & Sectors 100% 100% 51% 12% 6% 9% 11% 11% 8% 43% 14% 25% 10% Pillar 1 SSA EAP ECA LAC MENA SAR SSA Energy Multi-Sector Telecoms Transport Water 43% 27% 8% 13% 4% 4% 16% 5% 51% 27% Pillar 2 SSA EAP ECA LAC EAP Energy Transport Water 18% 23% 59% 59% 41% Pillar 3 EAP MENA SAR ECA Multi-Sector Telecoms 27% 30% 16% 20% 7% 30% 14% 50% 6% Pillar 4 SSA EAP LAC MENA SAR LAC Multi-Sector Telecoms Transport 55% 27% 18% MENA Energy Transport Water 52% 14% 34% SAR Multi-Sector Transport Water 54 • PPIAF Annual Report 2023  •  55 Technical Assistance by Region: Highlights Energy Multi-Sector Telecoms Transport Water Energy Multi-Sector Telecoms Transport Water SUB-SAHARAN AFRICA LATIN AMERICA & THE CARIBBEAN 43% 50% FUNDS DEPLOYED CO-FUNDING LEVERAGED FUNDS DEPLOYED CO-FUNDING LEVERAGED 25% SSA 30% LAC $3.9 million $3.5 million FY23 $1.2 million $1.27 million FY23 ACTIVITIES APPROVED ACTIVITIES CLOSED 14% ACTIVITIES APPROVED ACTIVITIES CLOSED 14% 10% 8% 6% 14 28 8 3 EAST ASIA & THE PACIFIC MIDDLE EAST & NORTH AFRICA 51% 55% FUNDS DEPLOYED CO-FUNDING LEVERAGED FUNDS DEPLOYED CO-FUNDING LEVERAGED 27% EAP 27% MENA $2.2 million $0.92 million $1.1 million $1.58 million FY23 FY23 ACTIVITIES APPROVED ACTIVITIES CLOSED ACTIVITIES APPROVED ACTIVITIES CLOSED 16% 18% 10 4 5% 6 3 EUROPE & CENTRAL ASIA SOUTH ASIA 59% 52% FUNDS DEPLOYED CO-FUNDING LEVERAGED FUNDS DEPLOYED CO-FUNDING LEVERAGED ECA SAR $0.5 million $0.93 million FY23 $1.1 million $0.33 million FY23 34% ACTIVITIES APPROVED ACTIVITIES CLOSED 41% ACTIVITIES APPROVED ACTIVITIES CLOSED 14% 2 6 6 1 56 • PPIAF Annual Report 2023  •  57 Technical Assistance by Region & Trust Fund 13% $1,260,550 SECO MIC MDTF SECO MIC SSA $3,118,950 SSA $500,000 10% $975,000 EAP $1,395,000 EAP $150,000 Climate ECA $311,000 ECA $200,000 1% $100,000 USAID LAC $410,550 LAC $624,450 MENA $1,110,000 Total $1,260,550 SAR $1,045,000 77% $7,604,400 MDTF Total $7,604,400 13% 80% 63% 61% Climate USAID SSA 30% EAP ECA SSA $3,118,950 $200,000 SSA $100,000 39% EAP $650,000 Total $100,000 LAC $125,000 54% 100% 100% Total $975,000 LAC MENA SAR 35% 11% 58 • PPIAF Annual Report 2023  •  59 COUNTRY ASSESSMENT OF PPIAF’S IMPACT IN PERU PPIAF conducts a targeted country review annually Since 2000, PPIAF has supported 27 activities in to examine how a country’s infrastructure projects, Peru, totaling $5.13 million. PPIAF’s main focus 3 facilitated through PPIAF assistance, have areas in all sectors encompass: modernizing institu- progressed. This year, the focus was on Peru. tional, regulatory, and legal frameworks; providing technical assistance for establishing sustainable Over the past few decades, the government of financial management; and enhancing corporate Peru has strongly pushed private investment in governance, creditworthiness, and microfinancing infrastructure, with marked success in awarding lending capacity. This support has focused on six numerous PPP contracts across various sectors. sectors, mainly transportation, energy, telecom- As a key partner, PPIAF has consistently played an munications, and water and sanitation, as well as instrumental role in this process, offering technical cross-cutting support—for example, providing access assistance and support that has tangibly transformed to capital markets and modernizing institutional, the nation’s infrastructure landscape. regulatory, and legal frameworks. Technical assis- tance also included establishing sustainable financial Peru introduced reforms in the 1990s and has management and microfinancing lending capacity. since refined its PPP framework with significant laws in 2003, 2008, and 2018. The results have been Working extensively with government agencies, striking. From 2002–22, the government awarded sector ministries, regulators, utilities, and 96 PPP contracts worth $28.9 billion, mainly in the subnational governments, PPIAF has enabled transportation, energy, water, and telecom sectors. public institutions to identify and take advantage High-profile PPPs include Lima’s Metro Line 2, the of PSP opportunities; strengthen policy, regulatory, Southern Gas Pipeline, and the Taboada wastewater and institutional frameworks; and improve the treatment plant. Peru’s Private Investment Promo- technical and fiscal capacities of subnational tion Agency, ProInversion, is preparing 45 more PPP entities so that they can secure financing without projects, with plans to award $3 billion in 2023. sovereign guarantees. FY23 PERU’S ACHIEVEMENTS AT A GLANCE 96 $28.9B $3B ACHIEVEMENTS PPP Contracts Awarded (FY02–FY22) PPP Contract Value (FY02–FY22) PPP Investment Expected (FY23) Annual Report 2023  •  61 Overview of PPIAF support in Peru The Country Assessment findings show that PPIAF’s (MML) to acquire a credit rating from an international Alignment to Improvement Strengthening Investment Rise of Consolidation international of PPP the PPP support has been highly relevant across all sectors. credit rating agency and secure a commercial bank boost concessions of PPPs standards processes framework Wherever positive outcomes were achieved, PPIAF’s loan of $70 million from BBVA Banco Continental impact was high: in 2010. A further technical assistance carried out in 2011 allowed MML to secure a credit facility of $120 At the multi-sector level, PPIAF’s support was million (in local currency PEN 360 million) with BBVA extremely useful for officials within the Ministry and Scotiabank in 2013. Both loans were the largest In the transport sector, PPIAF supported MML In the water sector, the scope of PPIAF support of Economy in dealing with informal requests from market-based financing that a subnational entity in to access over $190 million in commercial has focused on three key areas: i) tariff-setting concessionaires who requested compensation from Peru had ever received, with record maturities and financing, enabling major transport projects. reforms; ii) direct support to water utilities; and the state due to lower demand for the projects’ low interest rates. The proceeds from the loans PPIAF recommendations also led to the creation iii) enhancing the creditworthiness of municipal services early in the COVID-19 pandemic. PPIAF’s obtained by MML have been used to fund the first of the Lima Transport Authority. In the port sector, banks (Cajas Municipales de Ahorro y Crédito— recommendations for the Project Management corridor of the Metropolitano Bus Rapid Transit sys- PPIAF’s short support to promoting PSP in port ter- CMACs) to increase access to finance for sanitation Offices within line ministries were adopted into tem, also supported by the World Bank, as well as debt minals has been highly effective. The National Ports programs for low-income groups. PPIAF supported amendments to Peru’s PPP Framework Law and consolidation (PEN 92 million), and socially inclusive System Law was passed shortly after, providing a legal the government in adopting a new tariff frame- other regulations in 2022. infrastructure projects (PEN 268 million).The regional framework for port terminal concessions and mandat- work—the Superintendencia Nacional de Servicios government of Arequipa secured a $10 million loan ing the National Port Authority to promote and facili- de Saneamiento (Sunass) adopted the General Tariff At the subnational level, PPIAF’s support also had a from a local commercial bank without a sovereign tate private concessions for the development of ports Regulation of 2007–Resolución de Consejo Directi- major impact, supporting Peru’s subnational entities guarantee (the first time a regional government in infrastructure. The increase in port terminals under vo N° 009-20 t 07-SUNASS-CD, which continues to to access the capital market. PPIAF technical assis- Peru borrowed in such a manner), which was used to concessions (from one to eight in the last 20 years) underpin Peru’s general water supply and sewerage tance enabled the Metropolitan Municipality of Lima pay for a regional road rehabilitation program. has led to total exports increasing from $7 billion tariff regulation today. PPIAF also developed a tariff in 2001 to $42.4 billion in 2020—a six-fold increase. study and Master Plan scenario analysis for the struc- Ports under concession generated a direct investment turing of the Obras de Cabecera PPP, a water supply PPIAF Support in Peru, Inception–FY22 flow of $1.7 billion during the same period. and distribution project in the Lima Municipality. Finally, PPIAF helped three municipal banks improve 5 Activities In energy, PPIAF informed Peru’s law promoting their capacity to provide microloans for sanitation $505,000 Water private participation in rural electrification, catalyz- products. These banks successfully launched a micro- ing rapid growth in access in the energy sector. PPIAF finance product for household sanitation improve- also supported Peru on its power sector reform to ments. Following PPIAF’s technical assistance, the 8 Activities $1,687,170 improve the environment for renewable energy and MiBaño initiative was developed in 2015, delivering Transport ACTIVITIES storage companies, facilitating their entrance and “bathrooms-in-a-box” for low-income groups and 27 expansion in the sector. Following PPIAF support, reducing customer transaction costs by 40 percent. FUNDING the Ministry of Energy and Mines presented a bill $5,048,132 (Proyecto de Ley 4565/2022-PE) in late March 2023 PPIAF’s involvement in Peru has markedly bolstered to modify the Efficient Electricity Generation Law. the nation’s infrastructure development with 10 Activities In telecoms, PPIAF-informed reforms helped close tangible outcomes across infrastructure sectors. $1,882,322 Multi-Sector the rural digital divide, allowing utilities in Lima PPIAF’s pivotal role in driving PSP and enhancing and Arequipa to raise capital for infrastructure regulatory structures demonstrates its impact. 2 Activities projects. Reforms in the telecoms sector also Looking ahead, PPIAF remains committed to further- 2 Activities $580,000 allowed for greater private sector involvement ing its partnership with Peru and playing a valuable $393,640 Energy Telecoms in providing rural internet access. role in the evolution of the country’s infrastructure. 62 • PPIAF Annual Report 2023  •  63 For ongoing activities, 98 percent of the deliverables were rated satisfactory or highly satisfactory. PORTFOLIO Only 7.4 percent of the portfolio demonstrated slow utilization of funds. Implementation PERFORMANCE INDICATOR BASELINE FY22 FY23 ANNUAL TARGET FY23 Percent of portfolio with slow utilization 14% 7.4% 9% Effective monitoring underpins PPIAF’s achieve- totaling $10.5 million, with an average grant ments. PPIAF thoroughly monitors each funded size of $205,000. This included $9.9 million for Percent of activities with quality of 100% 98% 97% activity from inception to 24–36 months after legal country-facing technical assistance and $0.6 million deliverables rated satisfactory or above closure to ensure efficient design, quality-driven for global knowledge products. In FY23, PPIAF Percent of activities rated “Satisfactory” 84% 85% 80% implementation, timely dissemination of results, met all funding allocation targets. This year, (“on track”) and the capture of lessons learned. Key performance 14 percent of funding went to fragile countries, indicators are collected and monitored throughout 49 percent to impact countries, 37 percent to the project implementation and reported in balance Sub-Saharan African countries, and 43 percent PPIAF exceeded all completed activity monitoring targets. Ninety-eight percent of deliverables were rated scorecards (see below). The scorecards aggregate to programmatic activities. Sixty-five percent of satisfactory or better, and 90 percent of activities were on track at closing. Of post-completion reviews, PPIAF’s portfolio performance indicators for this activities had climate co-benefits. PPIAF also 88 percent of post-completion reviews demonstrated satisfactory outcomes, representing a 1 percent fiscal year. allocated $0.8 million through CREST and increase from FY22. incorporated climate adaptation and mitigation FY23 marked the first year implementing PPIAF’s to the remaining eligible ones, and as a result Completion Renew Strategy. PPIAF funded over 51 activities climatized 84 percent of its portfolio. BASELINE ANNUAL INDICATOR FY23 FY22 TARGET FY23 Activity Design Percent of activities with quality of 100% 98% 95% deliverables rated as satisfactory or above ANNUAL INDICATOR FY23 Percent of activities “on track” at closing 96% 90% 77% TARGET FY23 Percent of TA funding towards the impact countries 49% 35% Number of activities incorporating climate resilience and environmental NA 8 NA Percent of approvals in SSA 37% 35% sustainability Percent of approvals in FCV countries 14% 10% Number of activities incorporating NA 4 NA gender analysis Percent of activities, including global knowledge 65% 50% products, that have climate co-benefit potential Value of activities in Southeast Asia, US$ $2.1 million $2.1 million Post Completion Percent of activities with strategic fitness score BASELINE ANNUAL 98% 98% INDICATOR FY23 rated standard or outstanding fit FY22 TARGET FY23 Percent of activities which are part of 43% 30% Percent of outcome realization programmatic engagements evaluations reporting outcome 87% 88% 74% satisfactorily achieved Percent of approvals in LIC countries 12% NA 64 • PPIAF Annual Report 2023  •  65 PPIAF’S RESULTS Percent of PPIAF activities reviewed in FY23 that were effective in meeting their interim outcomes FRAMEWORK PPIAF’s Results Framework demonstrates the and accountability. The second pillar aims to progression from delivering specific outputs to accelerate the “conversion rate” of initiatives into its overarching objectives—accelerating access capital mobilization and improved infrastructure to climate-smart infrastructure through private services. This is done by providing tailored support participation. The Results Framework maps a to build frameworks, capacity, and institutions to PILLAR 1 PILLAR 2 pathway from PPIAF activities and outputs to more develop PPP projects. The third outcome pillar and better infrastructure services and greater devel- supports country clients in reducing PPI risks and Outcomes 91% Outcomes 100% opment impact. The underlying Theory of Change diversifying infrastructure financing sources, for suggests PSP in infrastructure can improve access example, through improved creditworthiness, FY27 91% FY27 81% to essential services and the overall quality of life. alternative financing mechanisms, and long-term Target Target local currency financing. Pillar 4 aims to increase At the output level, PPIAF reviews knowledge prod- climate adaptation, climate mitigation, biodiversity ucts and recommendations from technical assistance protection, and gender equity in privately delivered to ensure that World Bank quality standards are met infrastructure, particularly within fragile countries. and client needs are fulfilled. PPIAF also collects data on the number of government officials trained in PPIAF measures progress towards interim outcomes, PPIAF-supported training events and workshops. collects lessons learned, and applies those lessons in designing new grants, thus closing the feedback loop. PPIAF’s strategy has four interim outcome pillars Results for interim outcome indicators are collected PILLAR 3 PILLAR 4 that show the direct results of its activities aligned through post-completion reviews 24–36 months after with the PPIAF strategy: the activity’s completion (the outcome realization • Pillar 1: Improving competition, efficiency process). In FY23, PPIAF reviewed 25 activities Outcomes 100% Outcomes Not Applicable for FY23 and accountability in infrastructure markets concluded in FY20 (50 percent of the FY20 portfolio), • Pillar 2: Accelerating PPI program development a representative sample totaling an investment of FY27 71% FY27 74% and implementation $6.4 million. For 88 percent of the activities reviewed, Target Target • Pillar 3: Reducing risk, increasing funding the interim outcomes were achieved satisfactorily, and financing in PPI programs a significant achievement. The Interim Outcome of • Pillar 4: Mainstreaming climate and equity activities under Pillar 1 had a 91 percent success rate; 11 activities were reviewed across all sectors, At the outcome level, PPIAF monitors the progress enabling environment for PSPs at the interim The first pillar focuses on supporting the develop- including three activities in telecommunication. of its client countries in terms of the volume of outcome level. At the development impact level, ment of policies, plans, and regulations to promote One hundred percent of the activities falling under private investment in infrastructure and the number PPIAF uses open-source data to track progress in open markets, increased competition, adoption of Pillars 2 and 3 were successful, with 12 activities of PSP transactions. PPIAF also monitors and infrastructure availability across 35 countries in technology and digitalization, and greater efficiency reviewed in total. evaluates its contributions toward an improved the energy, transport, and water sectors. 66 • PPIAF Annual Report 2023  •  67 Accelerated universal access to infrastructure services through TARGET INTERIM OUTCOMES OBJECTIVE: 20/35 private participation, in particular in climate-smart infrastructure Number of “PPIAF Impact Countries” (ICs) with Number of ICs with acceleration in acceleration in the availability of water, transport, the access to and use of renewable PPIAF improves competition, increases efficiency and accountability, energy and communications infrastructure energy sources and further opens infrastructure markets to private participation. Governments adopt policies, plans and regulations to promote open private participation markets, increased TARGET HIGHER LEVEL Accelerated PPI investment in infrastructure in ICs, in particular in competition, adoption of technology & digitalization, 71% OUTCOME: climate-smart infrastructure and greater efficiency and accountability. PILLAR 1 PPI investment Number of PPI projects Number of PPI PPI investment volume volume in ICs in ICs which reached projects in Universally in Universally Paris (US$, millions) financial close Paris Aligned Aligned infrastructure infrastructure sub-sectors in ICs PPIAF supports PPP PPIAF accelerates PPP TARGET 5.5%* TARGET 6%* sub-sectors in ICs (US$, millions) upstream policy and program development and program development implementation, strengthening & builds capacity of capacity and PPP institutions PPI ecosystem actors. along the way. Governments in PPIAF impact countries are systematically able to, OUTCOME: and are adopting policies, regulations and programs that improve Governments introduce Ecosystem actors enhance the enabling environment for private participation in infrastructure. and improve PPP their capacity to manage PPI TARGET PILLAR 2 institutional frame- programs through training, 81% TARGET works accelerating access to knowledge, tools Number of ICs that are improving their PPP enabling environment score capital mobilization. and scalable platforms. 24/35 INTERIM OUTCOMES PPIAF supports the development of financing tools for infrastructure, helps reduce risks in PPI programs, helps to increase creditworthiness TECHNICAL High-quality technical advice on private sector investment in infrastructure of contracting authorities & supports program development for long- ASSISTANCE is delivered to client country satisfaction. term local currency financing. OUTPUTS: Governments diversify sources of financing for infra- structure services by (1) generating alternative public High-quality technical advice on engaging the private sector in Gender analysis TARGET TARGET benefits, (2) reducing PPI risks, (3) improving SOE and a manner that supports climate resilience and environmental is incorporated 97% PILLAR 3 82% municipal creditworthiness and developing long-term sustainability is delivered to client country satisfaction. in the final TA. local currency financing. High-quality knowledge products on private sector investment in KNOWLEDGE infrastructure prepared and shared to demonstrate how private OUTPUTS: sector investment in infrastructure can add value. PPIAF mainstreams climate and equity in PPI programs. High-quality knowledge product on engaging the private Gender analysis is Governments adopt policies, plans and regulations for sector in a manner that supports climate resilience and incorporated in the TARGET greater climate mitigation, adaptation and resilience TARGET environmental sustainability successfully passed the final knowledge 93% building; and promotes biodiversity and equity in 74% World Bank’s review process. product. privately delivered infrastructure PILLAR 4 *  Percentage per year compound interest 68 • PPIAF Annual Report 2023  •  69 FY23 RESULTS IN A NUTSHELL PPIAF plays a major role in catalyzing private investment This year, PPIAF played a pivotal role in catalyzing In Angola, PPIAF backed the $1.1 billion Bita Water These examples show that PPIAF drives open, substantial private capital for infrastructure projects Supply Guarantee Project, which mobilized $910 competitive infrastructure markets and supports through its upstream support to four transactions— million in private capital. This project set records as pioneering transactions that crowd in significant three of which reached financial close. PPIAF cata- the World Bank’s largest guaranteed financing and amounts of commercial finance. These results were lyzed a total of $1.76 billion in private investment. the first IBRD water sector guarantee. In Ethiopia, facilitated through PPIAF’s specialized expertise In June 2023, the Lao PDR transaction only reached PPIAF helped establish the telecom regulatory and experience in creating the conditions for commercial closure; and due to the confidential authority ECA, underpinning the sector’s liberaliza- private sector participation. nature of the transaction in West Africa the final tion. ECA has since issued licenses enabling major figure cannot be officially confirmed. private investment, including $8 billion pledged by Safaricom. In Lao PDR, PPIAF supported reforms In the last six years, PPIAF activities catalyzed allowing private participation in the power sector, Angola Bita Water Project over $11 billion in private investment. These including a 25-year transmission concession deal successes demonstrate how PPIAF fulfills its with China Southern Power Grid expected to catalyze mandate to accelerate private participation in $2 billion in investment. In West Africa, PPIAF helped $118,000 First ever $910 million emerging markets infrastructure, aligning with structure an innovative PPP for a fiber optic cable PPIAF Grant IBRD Guarantee Private Financing Pillars 1, 2, and 3 of the Renew Strategy. involving $33 million in private financing. (2018) for water (2019) Mobilized (2022) Ethiopia ICT Sector Support PPIAF’S CATALYZING PRIVATE INVESTMENT AT A GLANCE $99,500 Establishment Liberalization $910M $850M $1.76B PPIAF Grant Ethiopian Communi- Telecom Sector Mobilized Mobilized Total (2018) cations Authority (2019) (2022) in Angola in Ethiopia Mobilized 70 • PPIAF Annual Report 2023  •  71 PILLAR 1 Improving competition, efficiency, and accountability in PILLAR 1 infrastructure markets INTERIM OUTCOME SECONDARY INDICATORS TOTALS Governments adopt policies, Institutions created/strengthened 5 plans and regulations to Sector-specific policies adopted, legislation passed/ promote open private 2 amended, or regulation issued/revised participation markets, increased competition, Consensus built on market creation/liberalization 4 adoption of technology & Number of stakeholders (government officials, civic digitalization, and greater 191 group representatives) trained efficiency and accountability. Number of women trained 34 Count of transaction with private sector that 1 reached financial close Private financing leveraged (in millions, USD) 850 PILLAR 2 PILLAR 2 Accelerating PPI development and implementation Implementing PPIAF’s INTERIM OUTCOME SECONDARY INDICATORS TOTALS Governments introduce and PPP Institutions created/strengthened 1 Renew Strategy improve PPP institutional PPP policies adopted, legislation passed/amended, frameworks accelerating 1 or regulation issued/revised capital mobilization. Consensus built on PPP reforms 1 Under this first year of implementation of PPIAF’s This year’s highlights across Pillars 1 and 2 include Ecosystem actors enhance Renew Strategy, the Results Framework has been the strengthened capacity of five institutions, as well their capacity to manage PPI Number of PPP pipelines developed 0 refined to better reflect the full depth of what is as the training of nearly 300 government officials in programs through training, Number of stakeholders (government officials, civic access to knowledge, tools being achieved and better aligned with the PPIAF preparing, selecting, and managing projects with group representatives) trained to prepare, procure 99 and scalable platforms. strategy. Each level of the Results Framework is private sector participation. PPIAF support was and manage PPI projects assigned specific indicators—these are specific essential to build consensus among stakeholders Number of women trained to prepare, procure and 8 markers that measure the achievement of inputs, on five PPP reforms and market liberalization. manage PPI projects outputs, outcomes, and impact of PPIAF’s work. Number of PPP knowledge products/tools/ 6 Under the FY23 outcome realization exercise, PPIAF Finally, PPIAF support supported the adoption of platforms developed results were reported against the Renew Strategy for two PPI regulations: in Lao PDR, PPIAF supported PPP transactions supported that materialized 1 the first time. The indicators for the interim outcome the adoption of the Electricity Law enacted in August Amount of transactions (in millions, USD) 0* level of Pillars 1, 2, 3, and 4 of the Results Framework 2018, and in Ethiopia PPIAF supported the creation of were revised to ensure proper reporting of detailed the Ethiopian regulation Authority (Communications Due to the confidential nature of the transaction, the final figure cannot be confirmed and therefore not included in the *   results at both the national and subnational levels. Service Proclamation No. 1148/2019). Results Framework. 72 • PPIAF Annual Report 2023  •  73 PPIAF shows strong results for activities falling Financing (TIF), introduced in the Colombia National under Pillar 3. Under this pillar, at the subnational Development Plan 2018–2022 (Ley 1955/19). PPIAF level, PPIAF strengthened the capacity of 13 institu- worked with subnational entities in Vietnam and PILLAR 4 tions and trained nearly 700 government officials. In Ukraine, and as a result eight credit ratings were PILLAR 4 Mainstreaming climate and equity Columbia, PPIAF supported the adoption of two regu- issued. Two subnational entities in Angola and Mali lations to enable the development of Tax Increment improved their creditworthiness with PPIAF support. INTERIM OUTCOME SECONDARY INDICATORS Governments adopt policies, Number of countries that adopted the Climate Toolkit for plans, and regulations for Infrastructure PPPs greater climate mitigation, Number of clients who adopted PPIAF recommendations to meet adaptation, and resilience their climate adaptation policy targets. Examples: NDC, long-term building; and promotes strategies, national adaptation plans biodiversity and equity in privately delivered Number of clients who adopted PPIAF recommendations to meet PILLAR 3 infrastructure. their biodiversity commitments and policy targets (e.g., adoption PILLAR 3 Reducing risk, increasing funding, and financing in PPI programs of the Post-2020 Global Biodiversity Framework) Number of climate resilience-building PPI transactions INTERIM OUTCOME SECONDARY INDICATORS TOTALS USD amount of climate resilience-building PPI transactions Governments diversify sources Policies adopted, legislation passed/amended, or 2 Number of low-carbon PPI transactions of financing for infrastructure regulation issued/revised services by (1) generating USD amount of low-carbon PPI transactions Plans/strategies adopted by national and subnational alternative public benefits, entities towards diversifying source of funding and 1 Number of biodiversity-positive PPI transactions (2) reducing PPI risks, (3) enhancing access to finance improving SOE and municipal USD amount of biodiversity-positive PPI transactions creditworthiness and Number of PPI programs which fiscal risks are developing long-term 0 Number of entities enabled to access climate funds managed/reduced local currency financing. Number of projects financed via novel financing Number of entities enabled to access biodiversity funds instrument or enabling through guarantee and 1 Number of national entities that introduced dedicated climate source of funding adaptation and mitigation units USD amount of projects financed via novel financing Number of national entities that strengthen their capacity to instrument or enabled through guarantee and innovative 910 improve eligibility for climate finance source of funding/financing mechanism Number of subnational entities that strengthen their capacity Number of national stakeholders (government officials, to improve eligibility for climate finance 683 civic group representatives) trained Number of entities that strengthen their capacity to improve Number of women trained 0 eligibility for biodiversity finance Amount of financing leveraged without sovereign Number of stakeholders (government officials, civic group 0 guarantee (in millions, USD) representatives) trained in climate Number of subnational financing projects developed 0 Number of stakeholders (government officials, civic group Number of credit ratings produced for representatives) trained in biodiversity 8 subnational entities Number of Paris-Aligned World Bank/MDB projects informed by Number of subnational/national entities whose capacity PPIAF assistance 13 was strengthened Number of subnational entities creditworthiness improved 2 74 • PPIAF Annual Report 2023  •  75 FY23 Balance Position INFLOWS (US$, millions) Beginning Cash Balance FY23 12.98 Donor Receipts FY23 14.18 Investment Income 1.35 Reflows 4.54 Total Inflows 33.06 OUTFLOWS (US$, millions) Transfer to Programming Activities 14.60 Transfer to PMU FY23 Budget 2.41 Transfer to PMU FY24 Budget 1.19 Umbrella MDTF Admin Fee 0.57 Total Outflows 18.77 Ending Cash Balance FY23 14.30 ANNEX 1 CALLS ON BALANCE* (US$, millions) Umbrella MDTF Admin Fee Liability 1.71 Activities Pending Grand Funding Request 3.20 PROGRAM FINANCES Total Calls on Balance 4.91 Cash Balance (Net of Calls of Balance) End of FY23 9.39 ACTIVITY LEVEL USES (US$, millions) FY23 Contributions Program Activity Disbursements 12.07 PMU Expenses, including indirects 2.36 MDTF FY23 Total Disbursements 14.43 Australia (DFAT) $5,513,600 Program Activity Commitments 6.44 Netherlands $2,000,000 PMU Commitments 0.05 Switzerland (SECO) $3,500,000 Total Commitments 6.48 Total $11,013,600 Program Activity Available Balance 13.51 CRITICAL UPSTREAM (G7) FY23 PMU Available Balance 1.19 Germany (BMZ) $3,169,800 Total Available Balance 14.70 Annual Report 2023  •  77 PILLAR 1 Improving competition, efficiency, and accountability in infrastructure markets. COUNTRY: ACTIVITY TITLE SECTOR AMOUNT Indonesia: Port Tariff Reform in Indonesia Transport $150,000 Cambodia: Support to Development of a Framework for Water & $150,000 Sustainable Piped Water Supply (PWS) Expansion with Sanitation PSP in Cambodia Kenya: Expanding Access to Decentralized Sanitation Water & $300,000 Services through Private Sector Participation Sanitation South Sudan: Technical Assistance and Capacity Telecoms $299,500 Building for the Ministry of Information, Communication, Technology and Postal Services Bangladesh: Maritime Port Sector Reform Transport $150,000 Jordan: Support to Government of Jordan for Solid Water & $200,000 Waste Management Sanitation Indonesia: Railways Sector Improvement in Jakarta Transport $100,000 Global: Private Sector Participation through Operations Energy $200,000 Concessions in Electricity Distribution Mozambique: Power Sector Transition and Reform Energy $300,000 Colombia: Support to the Government of Colombia to Telecoms $160,000 Devise a Pilot Model of Connectivity in a Remote Region India: Attracting Private Participation in Urban Multi-Sector $200,000 Services in Hyderabad Benin: Sustainable Urban Mobility Project in Transport $290,000 Grand Nokoué Cross-Regional: Analysis of Innovative Private Telecoms $259,450 Sector Financing Models for Expansion of Digital Public Infrastructure Cross-Regional: South-South Academia Cooperation — Transport $250,000 Establishment of a Sustainable Knowledge Sharing Platform to Explore PSP in Transport Sector with SSA Universities Kazakhstan: Support to the Government of Kazakhstan for Telecoms $207,500 ANNEX 2 ICT Sector Strategy as it Relates to Attracting PPI Peru: Informing Private Sector Mobilization for Transport $150,000 Smart Traffic Management in Lima ACTIVITIES APPROVED IN FY23 Lebanon: Designing Alternative Electricity Energy $150,000 Distribution Models Annual Report 2023  •  79 PILLAR 2 PILLAR 3 Accelerating PPI program development and implementation. Reducing risks in PPI programs and increasing creditworthiness of public counterparties. COUNTRY: ACTIVITY TITLE SECTOR AMOUNT COUNTRY: ACTIVITY TITLE SECTOR AMOUNT Ecuador: Support to Implement PPP Legal Framework in Ecuador Transport $150,000 Cambodia: Strengthening the PPP Fiscal Risk Multi-Sector $120,000 Congo, Democratic Republic of: Identifying Low-Carbon Water & $100,000 Management Framework Public Private Partnership Opportunities for Rural and Sanitation Peri-Urban Water Supply in DRC Pakistan: Unlocking Access to Land in Khyber Pakhtunkhwa Multi-Sector $200,000 through Better Public Land and Building Asset Management Ghana: Technical Assistance on Mobilizing Private Capital Transport $250,000 to Bus Rapid Transits (BRTs) in Kumasi Global: Suite of Fiscal Commitments and Contingent Multi-Sector $100,000 Liabilities (FCCL) Identification and Assessment Related Malawi: Support in Development of PPP Regulations, Multi-Sector $300,000 Tools (PFRAM 3.0) Guidelines and Project Development Fund India: Enhancing Punjab Cities’ Access to Private Water & $205,000 Vietnam: Private Sector Participation in Solid Water & $300,000 Financing for Water Supply — Phase 2 Sanitation Waste Management Sanitation Jordan: Support to Jordan Ministry of Finance in Energy $160,000 Jordan: Support the Government of Jordan to Establish Transport $150,000 Evaluation of Fiscal Risks from Energy Sector Projects a Tolling Policy Nepal: Support to PPP Program (Phase 2) Multi-Sector $140,000 Ecuador: Support to Government of Ecuador for the Water & $75,000 Establishment of Solid Waste Management Regional Project Sanitation PILLAR 4 Timor-Leste: Airport Project Specific Decree Transport $75,000 Mainstreaming resiliency, equity and climate co-benefits. Global: PPP Regulatory Reforms and Sustainability Multi-Sector $100,000 Global: PPPLRC Fiscal Year 2023 Support Multi-Sector $100,000 COUNTRY: ACTIVITY TITLE SECTOR AMOUNT Cross-Regional: ECOWAS PPP Phase II Support Multi-Sector $350,000 South Africa: Zero-Carbon Shipping — South Africa Port & Transport $200,000 Fuel Storage Assessment and Port Tool Kit Update Ukraine: Support to Strengthening Reconstruction & Multi-Sector $303,500 Resilience through Private Participation in Infrastructure Morocco: Zero-Carbon Shipping — Morocco Port & Transport $150,000 Fuel Storage Assessment Togo: PPP Program Support ­— Institutional Strengthening Multi-Sector $300,000 and Capacity Building Support Bangladesh: PPPs Under the Dhaka Rivers Ecological Water & $150,000 Restoration Project Sanitation Global: PPP Certification 2.0 — Country Support Multi-Sector $100,000 Cross-Regional: Options for Private Sector Solutions Multi-Sector $400,000 Dominican Republic: Support to Government of Dominican Transport $125,000 for Coastal Infrastructure in West Africa Republic for the Introduction of Road Maintenance Contracting Models (CREMA) Pilot Program Indonesia: E-mobility in the Jakarta Region Transport $300,000 Indonesia: Engagement of Private Sector for Irrigation Water & $150,000 — Colombia Port & Colombia: Zero-Carbon Shipping ­ Transport $150,000 Operation and Management Sanitation Fuel Storage Assessment Philippines: Options and Impacts Study for Piloting Transport $500,000 Indonesia: Green Finance Facility for Renewables Energy $350,000 High-Quality Bus Services (QBS) in Metro Manila Djibouti: Renewable Energy Access Project Energy $300,000 Tanzania: Strengthening of the PPP Institutional Multi-Sector $320,000 Framework and Preparation of the PDF Jamaica: Support the Government of Jamaica in Multi-Sector $200,000 Developing a Non-Revenue Water Program Peru: Support to the Government of Peru to Enhance Multi-Sector $150,000 its Capacity in PPP Infrastructure Project Preparation and Implementation 80 • PPIAF Annual Report 2023  •  81 REGION SECTOR ACTIVITY TOTAL APPROVED LAC Multi-Sector Colombia: Financing Infrastructure for $600,000 Urban Redevelopment Subnational Technical Assistance Program — Phase II SSA Transport Cross-Regional: Leaders in Urban Transport $114,145 Planning — Cities Needs Analysis Workshop Cross- Energy Cross-Regional: Leveraging the Existing $610,000 Regional Regional Energy Infrastructure to Improve Internet Connectivity in Mali, Mauritania, and Senegal through Private Sector Participation (Phase II) Cross- Multi-Sector Cross-Regional: Maghreb Infrastructure $400,000 Regional Diagnostic (MID) SSA Telecoms Ethiopia: ICT Sector Support $99,500 Global Multi-Sector Global: Assessing Direct and Indirect Public $150,000 Investment in Infrastructure in Low and Middle-Income Countries Global Multi-Sector Global: Guidance on PPP Contractual $125,000 Provisions, 2019 Edition Global Transport Global: Guidebook on PPP Railway $180,000 Station Redevelopment Global Multi-Sector Global: Operational Guidebook and Training $200,000 Module for Municipal Administrators on Property Tax Reform Global Energy Global: Private Financing of Loss Reduction $125,000 and Efficiency Improvement of Electricity T&D Enterprises in Developing Countries Global Multi-Sector Global: Strategic Partnership on Islamic $200,000 Finance & Infrastructure PPPs MENA Transport Jordan: Private Sector Participation in $86,300 Jordan’s Road Sector: Support for Amman ANNEX 3 Ring Road Development Corridor Phase 2 in the context of Jordan Roads InfraSAP SSA Water & Kenya: Component 1 of the Financing $135,000 Sanitation Universal Access to Water Supply and REVIEWED ACTIVITIES Sanitation-Kenya Country Assessment Annual Report 2023  •  83 REGION SECTOR ACTIVITY TOTAL APPROVED EAP Energy Lao PDR: Sustainable Hydropower $740,000 Development and Integrated Water Resource Management SSA Energy Mali: Revitalizing the Energy Sector through $375,000 Enhanced Private Sector Participation MENA Multi-Sector Morocco: Strengthening Municipal Finance $200,000 through Improved Creditworthiness, Better Performance Management, and Tailored ACRONYMS & Urban Financing SAR Water & Pakistan: Water Resources Option $100,000 Sanitation Study for Karachi EAP Energy Papua New Guinea: Support to Private Sector Participation in Sustainable $371,007 ABBREVIATIONS Hydropower Development LAC Water & Peru: Component 1 of the Financing Universal $100,000 ACUI Africa Critical Upstream Initiative JIT Just-In-Time grant Sanitation Access to Water Supply and Sanitation BESS Battery Storage Energy Systems LAC Latin America and the SSA Transport Sierra Leone: Enhancing Efficiency and $150,000 Caribbean Region CCAP Climate Change Action Plan Private Sector Participation in Sierra Leone LLC Life-cycle Costing CREST Climate Resilience and Environmental Road Transport Corporation (SLRTC) Sustainability Technical Advisory M&E Monitoring and Evaluation SSA Telecoms Somalia: Supporting ICT Sector and $406,790 DRM Disaster Risk Management MDB Multilateral Development Bank Broadband Connectivity in Somalia EAP East Asia and Pacific Region MDTF Multi-Donor Trust Fund Using PPP (Phase 2) ECA Europe and Central Asia Region MENA Middle East & North Africa Region SSA Multi-sector Uganda: City Creditworthiness Initiative — $400,000 Implementation of Action Plans for Selected ECOWAS Economic Community of West MOOC Massive Open Online Course Ugandan Local Authorities African States NRW Non-revenue Water ESCO Energy Service Company SSA Water & Uganda: National Water and Sewerage $340,000 PBC Performance-based Contract Sanitation Corporation — Support in Preparing for ESMAP Energy Sector Management PGII Partnership for Global Infrastructure Market Finance Assistance Program and Investment ECA Transport Ukraine: Assistance to Carry Out a $50,000 FCV Fragility, Conflict, and Violence PIDG Private Infrastructure Credit Rating of the City of Mariupol GHG Greenhouse Gas Emissions Development Group GIF Global Infrastructure Facility PPIAF Public-Private Infrastructure Advisory Facility G20 The Group of 20 (a group of the world’s major economies) PPI Private Participation in Infrastructure GRID Green, Resilient, Inclusive PPP Public-Private Partnership Development PSP Private Sector Participation ICT Information and QII Quality Infrastructure Investment Communications Technology SAR South Asia Region IFC International Finance Corporation SDGs Sustainable Development Goals IPG Infrastructure Finance, PPPs & Guarantees Global Practice SOE State-owned Enterprise JICA Japan International SSA Sub-Saharan Africa Region Cooperation Agency TDLC Tokyo Development Learning Center 84 • PPIAF Annual Report 2023  •  85 CREDITS Cover metamorworks / Shutterstock.com Page 11 Emensahgh / CC BY-SA 4.0 Page 14 Yohannes Ezra / Shutterstock.com Page 17 Asian Development Bank Page 20 Noiz Stocker / Shutterstock.com Page 23 thsulemani / Shutterstock.com Page 26 socrates471 / 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