The World Bank in the next phase of PSIL will focus on implementing solutions at scale and job creation in the developing economies
Indian telecom giant Airtel’s chairman, Sunil Bharti Mittal, has joined the World Bank’s next phase of the Private Sector Investment Lab (PSIL). With this development, Mittal has joined other prominent global business leaders, including Bill Anderson, president and CEO of Hyatt Hotels.
“The World Bank Group is leading the way with initiatives to grow economies and create opportunities in emerging markets around the globe. As President Banga has said, the private sector will play a pivotal role in this transformation, and I am delighted to join the PSIL alongside other distinguished business leaders,” said Bharti Enterprises chairman.
The World Bank’s next phase PSIL initiative will focus on implementing solutions at scale and job creation in the developing economies. Commenting on the launch, the World Bank Group President Ajay Banga said the idea behind the lab is to help the private sector make investments that will deliver returns and improve things for people and economies alike.
“With the expanded membership, we are mainstreaming this work across our operations and tying it directly to the jobs agenda that is driving our strategy,” said the World Bank President.
The lab was first launched 18 months ago to identify investment barriers for the private sector in developing economies. The recently launched phase will focus on five key areas. First, the lab will offer support to governments in establishing stable regulatory regimes. Second, it will streamline its political risk insurance offerings by increasing its guaranteed issuance to 30% compared to the previous year.
Third, the lab will reduce foreign exchange risk and strengthen capital markets by scaling financing in local currency. Fourth, the newly launched lab has introduced the Frontier Opportunities Fund, which is designed to facilitate high-risk, primitive-stage investments using initial capital from IFC income and lastly, it will work in collaboration with financial giants like S&P and BlackRock to build standardised and more secure investment products.