Allocation across Sectors

Looking at individual sectors, the largest investment needs are in energy and transport, which represent more than 50 per cent of the required infrastructure investments over the 30-year period.

The sector allocations were derived by first setting aspirations and targets within each sector, then identifying the infrastructure needed to achieve these aspirations and targets. Unit costs were then used to calculate the investment required to build the needed infrastructure. Lastly, these calculated investments were reconciled with the top-down estimates.

Ramp-Up Paths across Sectors

The different asset classes exhibit differing ramp-up curves. Since Transport and Energy play a crucial enabler role for practically all other sectors, investment in these areas should be prioritised by means of allocating larger shares of the early investment volumes to these two sectors. Consequently, in the first five years, Transport and Energy account for as much as two-thirds of the total infrastructure investment volume. This will put a solid stock of supporting infrastructure in place for other sectors such as Water, Agriculture and Mining, and lay a foundation for subsequent growth in these sub-sectors.

The plan therefore calls for investment in Transport and Energy to increase from current levels of around USD 2 billion per annum each, to USD 16.2 billion and USD 20.6 billion per annum by 2018 respectively.

Similarly, investment in housing infrastructure will need to also increase significantly from USD 0.4 billion to USD 1.4 billion per annum by 2018; ICT will double from USD 2.6 billion per annum to USD 5.4 billion per annum by 2018; and Social Infrastructure, Water, Agriculture, and Mining, and Security investments are also expected to increase over the next five years.