INFRASTRUCTURE DEVELOPMENT AS A CATALYST FOR SUSTAINABLE ECONOMIC GROWTH
DOI:
https://doi.org/10.29121/nndx1r47Keywords:
Infrastructure Development, Sustainable Economic Growth, Public Investment Efficiency, Inclusive Development, Climate Resilience, Infrastructure GovernanceAbstract
Infrastructure development is a key component of economic transformation. However, its role in sustainable development cannot be measured simply by counting roads, electricity grids, water supply systems, or digital capabilities. The value of development infrastructure rests on its ability to provide reliable, affordable, inclusive, and environmentally friendly services throughout its useful life. This paper examines the conditions under which infrastructure development can catalyze sustainable economic growth. It draws on selected academic research and institutional publications from a qualitative literature review up to 2024. The analysis links infrastructure investment to productivity, market access, social inclusion, investment efficiency, and climate resilience. The evidence suggests that infrastructure quantity and quality are linked to long-run economic growth, and institutional effectiveness to returns on public investment. Climate risks are also increasingly being taken into account in infrastructure planning and financing in recent policy literature. This paper develops a conceptual framework based on the notion of services and a service-evaluation framework that distinguishes among investment inputs, service performance, and service development outcomes. It makes clear that infrastructure alone does not guarantee sustainable growth: good project selection, good governance, infrastructure lifecycle management, and benefit sharing are key to infrastructure's contribution to sustainable growth. Finally, the paper argues that infrastructure investment policy should focus on creating lasting public value, not simply on the number of projects built.
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