G20 Radio Bulletin 88 - Spending efficiency and public project execution are under debate at the G20

The G20 Infrastructure Working Group discusses the efficiency of public spending and the engagement of multilateral banks and private capital in infrastructure projects. The focus is on buildings that are resistant to climate change. Listen to the report and find out more.

Reporter: Following the second meeting of the G20 Infrastructure Working Group in Brazil, the group's coordinator, Marden Barboza, presented an overview of the discussions held over the two days of meetings. Barboza reports that the Brazilian proposal was well accepted by all G20 countries.

Marden Barboza: To our surprise, it was very well accepted. I say to our surprise because this topic concerns countries where exchange rate volatility is a little higher. But even in countries where exchange rate volatility is very low, this topic was very well accepted, because many investors in these countries have been asking for this type of action by governments, so that governments can collaborate in the search for solutions.

Reporter: The Brazilian proposals are for spending efficiency and execution of public projects. Each G20 presidency chooses priority themes for discussion by Working Groups, and Brazil chose four for its presidency. The first priority is financing infrastructure works that can face the effects of extreme climate. The second priority is to identify how infrastructure projects and services can help reduce the effects of poverty. The third theme is attracting private capital to collaborate with governments to finance infrastructure. And the fourth objective is to increase financing for border infrastructure and increase the participation of multilateral banks in projects—a challenge for all countries.

Coordinator Marden Barboza highlighted that the group presented the Brazilian federal government's Eco Invest Brasil project as a positive example, aiming to incorporate it as a model to be followed.

Marden Barboza: So we presented the Brazilian model. The countries, as a matter of fact, found it very positive. We want to incorporate this Brazilian model as one of the good examples to be followed by other G20 countries. Several countries endorsed our suggestion.

Reporter: The third meeting of the G20 Infrastructure Working Group will be held in July, in the city of Foz do Iguaçu, state of Paraná, Brazil. The proposals that were discussed aim not only to benefit Brazil, but to contribute with solutions for G20 countries and the entire international community.