The Infrastructure Fund (IF) is a portfolio of blended finance projects and programmes. The IF is managed by Infrastructure South Africa (ISA) and operationalized by the Development Bank of South Africa (DBSA) through a “ring-fenced” division of the bank.
In fulfilling its mandate to look at a variety of blended finance instruments, the IF leverages on the expertise of the Infrastructure Fund Advisory Committee (IFSAC). The technical advisory body is composed of Public Sector (National Treasury, DPWI and ISA) and Private Sector members in order to enable key public / private stakeholders to make inputs into the financial structuring and to facilitate coordination with other government initiatives and policies. Once there is alignment with key stakeholders such as National Treasury and private sector capital sources, the products that can be deployed in the IF funding/financing structures can range from equity, quasi-equity, debt, guarantees, and stand-by facilities. Utilising the IF’s funding instruments to properly leverage private investment, will materially and positively alter the momentum of infrastructure investment, implementation and economic growth across South Africa. In addition, the involvement of the IF will contribute to the building of trust between government and business, and will strengthen business and investor confidence.
Infrastructure Fund milestones to date:
- IF Group Executive appointed
- Business plan approved
- Formation of the Infrastructure Fund Advisory Committee
- Recruited a team of 17 professionals with private/public sector skills and experience
Vision, Mission and Objectives
Infrastructure Fund Project Pipeline
The IF Project Pipeline is a promising portfolio of infrastructure projects that have good prospects of leveraging private sector capital if optimally blended with government funding. In May/June 2021, a number of programmes/ projects in the IF Pipeline were submitted to the BFI for consideration.
These programme/project focus areas include:
- Student Housing
- Water & Sanitation
- Social Housing