Day two of the BRICS Infrastructure Investment Symposium took place on Friday via Zoom. Delegates from BRICS countries [Brazil, Russia, India, China and South Africa] explored strategies that facilitate the swift development and delivery of public infrastructure.
BRICS countries seek to leverage greater private sector participation and advance the use of green, transition, and sustainable finance in infrastructure projects.
South Africa too reliant on public funding
During the BRICS Infrastructure Investment Symposium, the head of Infrastructure South Africa, Alec Moemi, confirmed that South Africa won’t reach its National Development Plan (NDP)goals.
The NDP’s primary aim for the 2023 BRICS host nation was to eliminate poverty. The six pillars of the NDP include growing the economy, creating more jobs, improving social security as well and building strong institutions.
However, over a decade since its inauguration, the plan has encountered certain impediments to its realisation.
“Funding of public infrastructure is still heavily reliant on the state. The pace of infrastructure delivery depends on the availability of fiscal funding, which has been diminishing,” said Moemi.
Infrastructure development in the BRICS countries varies significantly due to differences in economic conditions, government policies, geographical factors, and historical contexts.
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Here’s an overview of how infrastructure development differs in each of these nations:
Brazil
Challenges: Brazil faces infrastructure challenges such as inadequate transportation networks, underdeveloped ports, and insufficient energy supply.
Priorities: The country has prioritised infrastructure improvements, especially in preparation for major events like the FIFA World Cup and the Olympics. This includes investing in stadiums, transportation, and urban development.
Private sector participation: Brazil has encouraged private sector participation in infrastructure development through public-private partnerships (PPPs). This approach has been used to finance and manage various projects, including airports and roads.
Russia
Geographical Extent: Given Russia’s vast territory, infrastructure development is focused on improving transportation networks, including roads, railways, and pipelines, to connect remote regions.
Energy: Russia is a major exporter of energy resources, and a significant portion of infrastructure development is directed towards the energy sector, including the expansion of oil and gas pipelines.
Technology and innovation: Russia invests in technology and innovation, such as the Skolkovo Innovation Center, to promote modernisation and diversify its economy.
India
Massive urbanisation: India is experiencing rapid urbanization, leading to a high demand for urban infrastructure, including housing, transportation, and sanitation.
Smart cities: The Indian government has launched the Smart Cities Mission to improve urban infrastructure and services through technological innovation.
Renewable Energy: India invests in renewable energy infrastructure, particularly solar and wind power, to meet growing energy demands and address environmental concerns.
China
High-Speed rail: China is known for its extensive high-speed rail network, revolutionising transportation and connectivity within the country.
Belt and Road Initiative (BRI): China’s BRI is a massive infrastructure project to enhance connectivity and trade with other countries. It includes investments in roads, ports, railways, and other infrastructure in Asia, Africa, and Europe.
Urbanisation: China’s rapid urbanization has led to the construction of numerous mega-cities with state-of-the-art infrastructure.
South Africa
Renewable Energy: The country has invested in renewable energy, particularly wind and solar power, to address energy challenges and promote sustainability.
Social Infrastructure: South Africa also invests in social infrastructure, including schools and healthcare facilities, to address historical inequalities and improve living conditions.
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