The Importance of Infrastructure for Economic Progress: Addressing Critical Service Deficiencies

Governments and private sectors worldwide recognize the crucial role of infrastructure in driving economic growth. However, the inadequate provision of critical infrastructure services is now a major obstacle to development. Physical and digital infrastructures are under immense pressure due to population growth and extreme weather events, exacerbated by the impacts of climate change. Communities most vulnerable to these changes face even greater risks in the absence of adequate infrastructure. Addressing critical service deficiencies is key to ensuring sustainable economic progress.

To achieve the United Nation’s Sustainable Development Goals for universal clean water, sanitation, and electricity provision in emerging markets, and upgrading developed market infrastructure, requires a significant increase in investment. Experts project that the necessary investment could double or even triple over the next ten years, with an estimated US$ 97 trillion needed globally by 2040. However, current spending trends suggest that the actual investment by 2040 may only reach $79 trillion, creating a significant shortfall in infrastructure investment. With the right information on infrastructure needs, this investment gap can be addressed, ensuring a sustainable future.

With over 5 decades of work on this sector, FSI can fill this knowledge gap and help governments and businesses plan and execute infrastructure projects based on research over time and across geographies.

In addition to funding and supporting critical infrastructure around the globe, we will leverage our multi-sector knowledge to identify priority projects and innovative financing approaches to be a catalyst of change.

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