According to the Asian Development Bank, the infrastructure investment needs of the ASEAN region from 2016 through 2030 is approximately USD2.8 trillion, or USD184 billion annually. The limited state budgets in many countries have raised the urgency for private financial institutions to channel more green and sustainable financing towards infrastructure projects, especially for the power and transport sectors, which have the largest climate-adjusted investment needs in developing Asia.
This report by the Singapore Institute of International Affairs (SIIA) examines the environmental and social (E&S) standards presently adopted by Singapore-based financial institutions to assess power and transport projects in ASEAN. The report provides 10 recommendations to different stakeholders on how they can work towards establishing a common understanding of key E&S risks to be considered in the power and transport sectors in ASEAN, which will help unlock more capital to flow towards sustainable infrastructure.
The findings of the study stemmed from secondary research, two working group meetings and closed-door interviews involving a total of 118 representatives from 49 organisations, including government agencies, multilateral organisations, banks and investors, project developers, financial services companies, non-governmental organisations (NGOs) and academics.