/Report of the G20 Eminent Persons Group on Global Financial Governance

The G20 EPG on Global Financial Governance was formally established by the G20 Finance Ministers and Central Bank Governors in April 2017. Its mandate was to recommend reforms to the global financial architecture and governance of the system of international financial institutions so as to promote economic stability and sustainable growth globally; and to discuss how the G20 could better provide continued leadership and support these goals.

The EPG Report was presented to the G20 Ministers of Finance and Central Bank Governors at the IMF-World Bank Annual Meetings in Bali, Indonesia on October 11th, 2018.

LTIIA contributed to the Report with inputs on “Building a Large and Diversified Asset Class of Developing Country Infrastructure” in Annex 2, in line with LTIIA’s recommendations to the B20 to develop Infrastructure as an Asset Class.

There is a large scope and a real need to mainstream infrastructure financing/investments into a recognized asset class, so as to catalyze the participation of institutional investors. In the course of the EPG’s consultations, key feedbacks were provided on tapping private capital markets and creating an asset class:

  • Communicate clear public commitment to build a credible asset class
  • Standardize loan contracts and criteria
  • Build a broad database on loan performance
  • Start with a small pilot, then scale up

LTIIA strongly support these considerations and will continue its work in this respect.

Please find the full report below and refer to page 80-81 for Annex 2.