This research report has been carried out as part of an academic consultancy project for The Financing for Sustainable Development Office in the United Nations Department of Economic and Social Affairs (UNDESA) with the objective to inform their multi-stakeholder dialogues on government’s strategies to mobilize sustained resources for infrastructure asset-related expenditures over the entire asset’s lifecycle and in line with the intended asset-related service delivery and financial performance goals.
To undertake the research, the team adopted a detailed literature review of publicly available data including sector specific studies, company specific research and experts’ interviews on infrastructure asset management financing (IAM). The report explores topics on infrastructure finance, asset lifecycle management, the role of local governments and budget cycles while highlighting good practices to incorporate resources needed for the lifecycle management of sub-national assets designed to strengthen capacity of sub-national governments and municipalities deploying sustainable provisions of dependable services. Under the working definition of IAM: “Optimal funding and pricing strategy for public asset managers to mobilize sustained funding of all infrastructure asset related expenditures over its entire lifecycle and in line with all desired asset-related service delivery and financial performance goals,” the following explores the benefits of IAM Finance, with a focus on:
- Subnational sources of finance and how governments acquire them
- Challenges and suggestions associated with the process of disposal of an asset
- Long-term objectives and how to achieve them
- Constraints and solutions throughout the infrastructure life cycle
- Tools to strengthen and support IAM finance.