DBS Bank an advisory partner of GIF
Singapore
DBS Bank on Friday announced that it has joined the World Bank's Global Infrastructure Facility (GIF) as an advisory partner.
Launched on Thursday in Washington, the GIF aims to catalyse and mobilise private-sector investment in infrastructure projects in emerging markets.
As advisory partner, DBS will offer advice on project preparation, optimal approaches to financial structuring and the design and use of risk instruments to ensure the suitability of emerging-market infrastructure projects for commercial or institutional investment.
The World Bank, in a separate statement, named Citibank, HSBC Bank, Macquarie Group and the Singapore government in a list of other partners and prospective partners that have also signed up to the GIF.
Lim Wee Seng, DBS head of project finance, said: "While many are familiar with the huge infrastructure needs in the region, few are aware the issue is not so much a lack of liquidity, but the absence of a steady pipeline of bankable projects.
"Similar to our partnership with Cities Development Initiative in Asia (CDIA), this collaboration in the GIF is another significant step in our efforts to go 'upstream' - to strengthen institutional capacity and capabilities for project development in emerging markets.
"As a leading Asian bank and an active project-finance adviser and lender in the region, we are committed to supporting the building of a robust infrastructure financing eco-system and the development of a stable pipeline of investible projects, as we believe this will be key in helping the long-term economic growth of Asia."
The World Bank said that developing countries now spend about US$1 trillion a year on infrastructure. Private infrastructure investment in emerging markets and developing economies fell from US$186 billion in 2012 to US$150 billion last year.
"Maintaining current growth rates and meeting future demands would require investment of at least an estimated additional US$1 trillion a year through to 2020."
