Infrastructure A G20 agenda

1. Infrastructure A G20 agenda French Treasury Rémy RIOUX

2. Infrastructure a G20 agenda • A strong commitment in Seoul • Calendar and organization of the group • Expected outcomes

3. I- A strong commitment in Seoul • Strong G20 commitment in the Seoul communiqué as part of the G20 Development Consensus for Shared Growth and first pillar of the Multi-Year Action Plan : • Action 1 : Multilateral development banks (MDBs) to develop jointly action plans with 2 objectives : “to increase public, semi-public and private finance” ; “to improve implementation of national and regional infrastructure projects in developing countries (LICs in particular)” • Action 2 : High Level Panel (HLP) “to mobilize support for scaling up infrastructure financing”

4. A strong commitment in Seoul: dialogue betweenvariousstakeholders G20 Leaders Summit in Cannes (November 2011) Sherpas Finance Ministers DevelopmentWorking Group High Level Panel for Infrastructure Investment Mutilateral Development Banks (MDBs)

5. A strong commitment in Seoul: Articulation betweenMDBs and HLP • Multiltateral Development Banks • Objectives: • Information and needs assessment • Internal practices • Improving the domestic infrastructure investment climate • Special measures for regional integration • Transparency and sustainability • Action Plans: • 1) First assessment in March • 2) Preliminary report in June • 3) Final report in September HLP for Infrastructure Investment ReviewMDBs action plans Provideindependentcomments and bridges between public & privatesectors Recommendconcretemeasures

6. II- Calendar and organization of the group • What has been done? • Seoul communiqué (November 2010) • Appointment of M. Tidjane Thiam as Chair of the HLP (January 2011) • Appointment of the 16 members of the HLP (February 2011) • 1st Development Working Group meeting (March 2011) • Next steps • HLP meetings (June 1st ;July; October) • 2nd Development Working Group meeting (July) • G20 sherpas meeting / Cape town (July) • 3rd Development Working Group meeting / Washington (September ) • G20 Cannes Summit (November)

7. High level panel for infrastructure investment Appointment of the members of the HLP (February 2011) Tidjane THIAM (Ivory Coast) Group Chief Executive of Prudential plc - CHAIR Yahya A. ALYAHYA (Saudi Arabia) CEO of the Gulf International Bank Yoon-Je CHO (Korea) Professor at Sogang University, Seoul, Korea Luciano COUTINHO (Brazil)President of Brazilian Development Bank (BNDES) Paul DOUGLAS (Canada) CEO of PCL Constructors Inc. Jim HARMON (USA) Chairman of Harmon & Co. LLC , Chairman of the Caravel Fund Mo IBRAHIM (Sudan) Founder of the Mo Ibrahim Foundation Hayrettin KAPLAN (Turkey) CEO of the Turk Eximbank Takatoshi KATO (Japan )President of Japan Center for International Finance Norbert KLOPPENBURG (Germany) Member of the Managing Board of KfW Rajiv B LALL (India ) CEO of the Infrastructure Development Finance Company Jin LIQUN (China) Board of supervisors of China Investment Corporation (CIC) S.R. MAHARAJ (South Africa)Former Minister of Transport, SpecialEnvoyof the SA pdt Nicholas MOORE (Australia) CEO of Macquarie Bank Paul Victor OBENG (Ghana) Chairman of the Guinness Ghana Breweries Ltd Alessandro ORTIS (Italy) Chairman of the National Regulatory Auth. for Elect&Gas Lionel ZINSOU (France) CEO of PAI Partner

8. III-Expectedoutcomes Six Outcomes proposed by the co-facilitators at the 1st DWG meeting (March 2011) • A set of policy recommendations to strenghten enabling environment (robust sectorial policies, strong regulation, regional planning, mobilization of internal sources, etc.) • Better data on needs, financial volumes and best practices (expand AICD ?) • A review of MDBs lending practices and policies, especially to favour regional projects ; • Search for missing instruments : project preparation ; capacity building ; risk mitigation tools (guarantees) ; performance-based contracts for services ? ; project bonds ? ; etc. • Initiatives/principles to increase transparency and sustainability • List of bankable growth-supporting projects, following strict criteria and with a priority for regional infrastructures

9. III-Expectedoutcomes/guidelines from the DWG: • The DWG confirmedveryhigh collective expectations for thispillar ("Jewel on the crown of the G20 Development Agenda") • The DWG agreed on the guidance proposed by the co-facilitators to address in priority regional needs in developing countries, in particular LICs, and, while not exclusively, with a special emphasis on Sub-Saharan Africa • Membersagreed to work on the six outcomesproposed by the co-facilitators, notably, with the help of the HLP, workingtowards a list of bankablegrowth-supportingprojects, preferablyat the regionallevel, takingintoaccountexistingcommitments and instruments • Membersespeciallyunderlined the needs in efficient energy and transport • Members look forward to the MDBs action plan and suggestedthat the IMF couldalsobeinvolved (DSF, fiscal space, Investmentquality in Infrastructure…) • Membersemphasized the need for the HLP to add value to the work of the MDBs. Theyurged the HLP to beginitswork and meet as soon as possible. Theyasked for a close cooperationbetweenMDBs and the HLP, and for a joint meeting, togetherwith the DWG in July. • Membersrecalled the need to link the infrastructure pillarwithotherpillars (notablyfoodsecurity, trade, humanresourcedevelopment, domesticresourcemobilization, privateinvestment) in an integratedmanner • Membersunderlined the importance of outreach to non-G20 countries, especiallyLICs in the context of variousevents in the Development Calendar