Huddon Mandizvidza

Private participation in infrastructure (PPI) has long been hyped as essential for satisfying the infrastructure and Sustainable Development Goals (SDG) financing gap worldwide. However, the level of PPI in Sub Sahara Africa countries has been underwhelming relative to expectations as well as investment levels witnessed in other developing regions, and in developed countries. Ironically, PPI underperformance in the SSA region sharply contrasts with the phenomenal international capital markets growth whose liquidity trends have been markedly exceptional; reaching near zero interest rates in OECD countries.

Increasingly, a common consensus is emerging among African policymakers, development practitioners, and researchers alike that innovative financing structures that de-risk public infrastructure projects will be required to catalyse PPI to supplement traditional sources of infrastructure finance and bridge the huge infrastructure deficit (Schinko & Komendantova, 2015; CEPA, 2015); This is especially so, in the face of fiscal austerity, renewed global demands for Low-carbon Climate Resilient (LCR) infrastructure, and limited infrastructure financing from traditional sources such as Official Development Aid (ODA). Yet PPI is not without risks and controversies as reported in many contemporary studies (Gabor, 2018; Leigland, 2018; Reeves, 2015)

The proposed study revolves around understanding Private Participation in Infrastructure (PPI) in Low Income Countries (LICs) generally and particularly in Southern Africa. Motivated by the critical role infrastructure plays in the development, growth, competitiveness, and climate resilience of nations vis-à-vis the significant infrastructure gap that continues to constrain Southern African Development Community (SADC) LICs’ economic potential as well as competitiveness, this research examines the vast challenges and opportunities for PPI in Southern Africa.