This paper recommends a coordinated or systems approach to scaling up financing for sustainable infrastructure in cities.
Traditional approaches to urban finance have often focused on actions that cities can take, such as issuing municipal green bonds or securing a good credit rating. This paper argues that mobilising private financing at scale through the effective deployment of a range of new financing instruments requires a greater focus on a systemic approach to urban finance reform, including national and subnational domestic resource mobilisation, improved governance, and sustainable management of liabilities. It sets out a two-step framework to illustrate how national and subnational governments can systematically strengthen their urban finance systems.
Working Papers