33. In their statements during the policy debate segment of the Conference, ministers and representatives of member and associate member States highlighted the problems and objectives as well as experiences and policy initiatives related to the development of PPPs for infrastructure development in the Asian and Pacific region.
34. The delegations emphasized the crucial and leading role of improved infrastructure in supporting economic growth, social development and poverty reduction. It was noted that improved infrastructure had also contributed substantially to enabling member States to benefit from the process of globalization. By facilitating more equitable access to, and distribution of, resources and opportunities, infrastructure helped to reduce disparities. However, as the growth rate of the region's economies accelerated and globalization intensified, the demand for infrastructure in the region would continue to grow. To meet the demand, the region needed to be prepared to invest heavily in infrastructure in the coming decade. However, in view of fiscal constraints which had seriously limited the ability of Governments to set aside funds for infrastructure development, it was essentially important for policymakers to pay particular attention to the magnitude of the effort needed to mobilize resources that could finance the needed level of investment. In this context, it was felt that the delivery of the necessary level and quality of infrastructure would greatly depend on the ability of governments to form stable and balanced relationships with the private sector and attract ongoing private sector investment.
35. The delegations recognized the need for having an overall policy and legal framework that provided guidelines on critical issues in PPP development. They observed that without these frameworks PPPs may result in inconsistencies in development across the sectors, operational problems of infrastructure services, high risk of default that finally may lead to low confidence and interest of private investors in the long run.
36. Recognizing that PPPs could help meet infrastructure capacity requirements, improve efficiency in the delivery of services, and provide access to more advanced technology and management skills, many countries of the region had formulated national and sectoral PPP policies as well as established special administrative arrangements and PPP units, and enacted PPP Acts or instruments. Additionally, the Conference noted with satisfaction the commitments of member States to further develop and enhance PPPs for economic and social infrastructure development through the development of policy frameworks that address critical areas in PPP development, and placing an emphasis on the need for capacity building.
37. Noting that efficient infrastructure had a vital role to play in strengthening economic links between countries in the region, the Conference highlighted the importance of regional cooperation in meeting infrastructure development challenges, as well as the involvement of the United Nations and other international agencies, intergovernmental organizations and subregional organizations in meeting those challenges.
38. The Conference recognized the special needs of landlocked developing countries and small island developing States in the region arising from their geographical constraints.
39. The Conference stressed the importance of infrastructure development in achieving the Millennium Development Goals. A number of delegations provided examples of the projects and programmes they were undertaking to improve access to economic and social opportunities in rural and urban areas.