International Finance Corporation Focuses on Job Creation Through Public-Private Partnerships
Akey focus for International Finance Corporation is to create jobs for people and urge growth through innovative ways to attract private investment such as public-private partnerships.
These were the words of the visiting International Finance Corporation’s Transaction Advisory Services director Emmanuel Nyirinkindi.
In an interview with Mr Nyirinkindi who arrived on Monday said: “It’s great to be in Fiji.
“I have been holding talks with a range of people here – with a focus on how we in IFC can help Fiji meet its development challenges through innovative approaches, bringing in the expertise of the private sector.
“We know globally that 90 per cent of jobs come from the private sector.
“Spurring greater private sector investment here can only create jobs for people and help boost economic growth.
“Fiji has one of the most sophisticated economies among the Pacific Island.
“A key focus for me is working with governments on innovative ways to create jobs and boost growth.
“While here I have also held some talks about how IFC can help Fiji deliver on its target of 100 per cent renewable energy by 2030.”
He said they have met with some Government officials particularly Energy Fiji Limited who have been very supportive and positive. “This is a country with abundant renewable energy sources and what we’re looking at is how to harness the power of the sun to deliver more solar power to people.
“So in that context, initial discussions have focused on a grid connected solar power project on the main island of Viti Levu. “We’re seeing growing interest within countries around the globe in public-private partnerships as a tool to help government’s leverage the expertise and efficiency of the private sector, raising capital and spurring development.
Public private partnerships effective way
“It is a misconception to see public private partnerships as countries giving up their assets.
He said in fact public private partnerships are an effective way for governments to hold onto their assets – keep them as public.
At the same time, he stated, drawing on the innovation of the private sector to make a difference in helping countries improve the management and delivery of public services for their people.
But he also said public-private partnerships need to be tailored to
the local context.
“Our job in IFC is to work with governments and development partners to help find the right solutions that works for the country and its future.
“Our goal is about ensuring governments can deliver reliable services for all those who need them. “It’s not about who the provider is, but how best to best people have access to quality, affordable public services – a way that frees up government finances so they can channel it to areas whey they need it most.
Focused areas
“So here in Fiji we’re focused on areas where the government wants to deliver on its goals for people of this country – in health,
housing and solar.
“As you’d be aware, IFC played an instrumental role in helping the Government of Fiji with the structure of the deal for the public private partnership for the Lautoka and Ba hospitals – a move which will see vastly improved health services for all Fijians – including cardiac surgery and radiotherapy for cancer.
“IFC was asked by the Government of Fiji for its assistance. “And as you’d be aware the government has made it clear the hospitals will remain public; people will pay no more; and staff will retain their jobs.
“We’ve also been asked by the Government to look at the best way to bring in the private sector to make more affordable housing available for low and middle- income earners.”
He stated that access to affordable housing is a major challenge for the low-middle income households in Fiji.
“It follows the Government’s announcement in the 2018-2019 National Budget Address in June to prioritise affordable housing, particularly in informal settlements where the Government is already working to upgrade the basic infrastructure.
“I do believe there’s a strong case to find the right way – through a public private partnership – to have the private sector help address the challenge of Fiji’s lack of affordable housing.
“IFC is drawing on its experience in helping deliver affordable housing.
“A project in Odisha, India, for example has resulted in the development of 2,600 houses benefiting about 12,000 people, creating about 700 jobs.”
About IFC:
IFC—a sister organisation of the World Bank and member of the World Bank Group—is the largest global development institution focused on the private sector in emerging markets.
They work with more than 2,000 businesses worldwide, using our capital, expertise, and influence to create markets and opportunities in the toughest areas of the world. In fiscal year 2018, they delivered more than US$23 (FJ$46 billion) in long-term financing for developing countries, leveraging the power of the private sector to end extreme poverty and boost shared prosperity.
IFC is drawing on its experience in helping deliver affordable housing. Emmanuel Nyirinkindi International Finance Corporation’s Transaction Advisory Services director