United States, April 12, 2017 – Washington, DC – Spending Better to Achieve More, the World Bank said this region can improve infrastructure by making better assessments and prioritising spending efficiency.
According to the report, in Latin America & the Caribbean an average of three per cent of the GDP is spent on infrastructure while many countries spend more than four per cent. Comparatively, the percentage of GDP spent on infrastructure in the East Asia/Pacific region is 7.7.
The causes of inefficient infrastructure investments, as cited in the report, include lack of institutional planning capacity, budgeting and implementation issues, inefficient procurement processes, and regulatory uncertainty. The report also said that adequate pricing for infrastructure services can also help increase efficiency.
The report said that sanitation and transport were two key areas where this region lagged behind other middle-income regions and said there was potential focus areas for infrastructure improvements.
Story by: Zahra Gordon