The MDBs provide significant financing for public-private partnerships (PPPs). One of the consequences of the current global financial crisis is that the importance of multilateral and bilateral agencies, as well as export credit agencies, is increasing. These multilateral sources of funds are particularly important because more traditional sources of funds-such as governments and private finance-have less money and fewer resources available since the global economic crisis began in 2007.
An example of MDBs working together to provide financing and facilitate private finance is the role taken by the AfDB and MIGA for the Doraleh Container Terminal project in Djibouti (Case Study 7).
"Through collaborative efforts of the multilateral development banks, the PPP approach has emerged as an effective tool for governments to enhance the private investments in infrastructure and social sectors needed for economic development and poverty alleviation." - Rajat M. Nag, ADB's Managing Director General |