ISLAMABAD: South Asia bagged only 5 per cent of the total global private infrastructure investment of $111.6 billion in 2015, according to data released by the World Bank.

The combined investment of $5.6bn from 43 deals represented a decline of 82pc from the five-year average of $30.5bn. Consistent with historical trends, India generated a majority of projects – 36 out of 43.

Pakistan had four projects, totaling $749.9 million, solely focused on renewables. Out of the remaining three projects, two were in Nepal and one in Bangladesh. Notably, 26 of the 36 projects in India, amounting to $2.0bn, targeted renewable energy.

Data from the World Bank Group’s Private Participation in Infrastructure Database shows that globally, solar energy investments climbed 72pc higher than the last five year average, while renewables attracted nearly two-thirds of investments with private participation.

The 2015 global private infrastructure investment stood at $111.6 billion compared with $111.7 billion in 2014 and $124.1 billion over the past five years.

Turkey’s $35.6 billion infrastructure investment to build new international airport in Istanbul saw the largest single investment commitment ever recorded in the World Bank data base. Turkey enjoyed a banner year in 2015, with financial closings on seven projects totaling $44.7bn, or 40pc of global investment.

Though on par with the previous year, global private infrastructure investment in 2015 was 10 per cent lower than the previous five-year average because of dwindling commitments in China, Brazil, and India.

Renewables jumped ahead in 2015 as private infrastructure investments in solar energy swelled to $9.4bn — 72pc higher than the last five years. Renewables on the whole made up 63pc of global investment, signaling greater adoption of wind, hydro, and geothermal power.

The transport sector took the highest commitment of $69.9bn, or 63pc of global investment, followed by energy at 34pc and water at 4pc. Out of 300 projects in 2015, energy captured the most with 205, well ahead of transport with 55 and water and sewerage with 40 projects.

Project sizes are also becoming larger in the last four years, with the highest ever average size of $419.3m in 2015.

Published in Dawn, June 16th, 2016