2011

Working Paper- Link (Spanish) - 2011

Economic infrastructure is crucial for reducing poverty and achieving sustained economic development. In recent years, investment in infrastructure in Latin America and the Caribbean has declined, creating a significant gap between needs and actual provision. This document uses alternative methodologies to quantify this gap and determines that an annual investment of around 5.2% of the regional GDP (approximately $170 billion in 2000 dollars) is needed to meet the demands of businesses and consumers between 2006 and 2020. To reach the per capita infrastructure levels of some Southeast Asian countries, the required investments would rise to 7.9% of GDP (about $260 billion in 2000 dollars) annually. The required effort is substantial given that observed investment in 2007-2008 was only 2% of GDP. However, adequately addressing these needs will be crucial for the region’s integration into the global economy in the 21st century and for improving the quality of life of its inhabitants.

Report- Link (English) - 2011

The main objective of this report has been to measure the infrastructure gap and the investments needed to close both the horizontal and the vertical gap. Latin America and the Caribbean will have to invest around 5.2% of the region’s GDP annually in order to meet the needs of companies and individuals between 2006 and 2020, assuming an average annual economic growth of 3.9% during this period. If, however, the intention were to close the gap with a group of East Asian countries, expenditures would have to rise to 7.9% of annual GDP.

Report- Link (English) - 2011

This policy discussion brief is a joint response by the Inter-American Development Bank (IDB), World Bank, and United Nations Economic Commission for Latin America and the Caribbean (ECLAC) to a request made by Ministers during the Third Meeting of Finance Ministers of the Americas and the Caribbean, held in Lima, Peru, on May 28, 2010.