Economic Development and Indicators of Infrastructure Provision

1
Economic Development and Indicators of
Infrastructure Provision
Regional Workshop on Public-Private Partnership
in Transport
Cesar Queiroz Roads and Infrastructure Consultant
World Bank Transport and Telecommunication
Institute Riga, Latvia, March 6-8, 2007
2
Presentation Outline

• Developing and developed countries
• Some measures of infrastructure provision
• Infrastructure indicators and economic
  development
• How private financing can help
• Some policy implications

3
Developing and Developed Countries

• Developing countries include low- and
  middle-income economies
• Developed (advanced, industrial, rich) countries
  denote high-income economies

4
Classification of Economies
Economies GNI per capita Low-income 825
or less Middle-Income 826 to 10,065 Lower 82
6 to 3,255 Upper 3,256 to 10,065
High-income 10,066 or more
Source www.worldbank.org/data
5
Gross National Income (US per Capita)
Source http//devdata.worldbank.org/data-query/
6
GNI in the Baltic States
Economies GNI per capita Upper
Middle-Income 3,256 to 10,065 Estonia 7,0
80 Latvia 6,760 Lithuania 7,050
Source http//devdata.worldbank.org/data-query/
7
Extent and condition of road infrastructure in
developed and developing countries
8
(No Transcript)
9
(No Transcript)
10
(No Transcript)
11
(No Transcript)
12
Some Measures of Infrastructure

• Paved road density (PRD), in km per million
  persons
• Electricity-generating capacity (ELE), in
  thousands of kilowatts per million persons
• Number of telephone connections per million
  population (TEL)
• Railroad tracks (RWY), in km per million
  population

13
Average Measures of Infrastructure
Economies PRD ELE TEL RWY
(km/mil pop) (1,000s of ( of connec.
(km/mil kw/mil pop) /mil pop)
pop) Low-income 410 70 7,920
70 Lower-middle 610 190 46,760 190
Income Upper-middle 1,950 560 154,100
330 Income High-income 10,150 2,070 673,000
840
14
Economic Development and Infrastructure
GNI (/pop)
logGNI 1.39 logPRD R squared 0.76 98 countries
Source Queiroz and Gautam
15
Where and How Can PPP help?

• In While PPPs are not a panacea, experience in a
  number of countries, both in the developing and
  developed worlds, have shown that well structured
  PPPs can help a country expand its transport
  infrastructure without overburdening its budget

16
Some Policy Implications

• Transport infrastructure is essential for
  economic development,
• then sufficient resources should be made
  available to maintain and expand a countrys
  transport infrastructure.
• Despite relative slowdown, PPPs remain an
  attractive option for many governments

17
Thank you!
18
Cesar QueirozRoad and Transport Infrastructure
ConsultantTel 1 202-473 8053Cel 1 301-755
7591Email queiroz.cesar_at_gmail.comcqueiroz_at_world
bank.orgwww.worldbank.org/highways