Asia infrastructure financing: Getting the right financing mix would lift medium-term growth

Asia's needs for infrastructure are vast. Getting the right financing mix for infrastructure projects would be rewarding for borrowers and lenders and, more importantly, provide a boost to GDP growth for the region in the medium term. 

Despite some remarkable success stories, providing adequate transport networks, power, water and other facilities remains a monumental task in Asia. This note gives a detailed account on selected country experiences with infrastructure financing in Non-Japan Asia. As different countries are at different stages of development and face diverse macroeconomic backdrops and endowments, suitable financing options for infrastructure development will vary. 

The governments and multilateral agencies will remain important providers of funding, but the role of private financing looks set to grow. This underscores the need to put more effort into improving transparency and governance as well as enhancing cooperation in harmonising capital market standards and facilitating cross-border flows.