2015年-世界发展银行全球_Capital_Market_Instruments_to_Mobilize_Institutional_Investors_to_Infrastructure_and_SME_Financing_in_Emerging_Market_Economies___Report_for_the_G20_72页_1mb

Summary of the Report: Capital Market Instruments to Mobilize Institutional Investors to Infrastructure and SME Financing in Emerging Market Economies

Core Content

This report, prepared by the World Bank Group, the International Monetary Fund, and the OECD, aims to identify key capital market instruments that can help mobilize institutional investors to finance infrastructure and small and medium enterprises (SMEs) in Emerging Market Economies (EMEs). It outlines the importance of institutional investors in addressing the financing gaps in these sectors and provides policy recommendations for EMEs to develop and implement strategies that leverage capital markets.

Main Points

1. Financing Gaps in EMEs

• Infrastructure: EMEs require an additional $1 trillion to $1.5 trillion in annual investment by 2020 to meet infrastructure demand from industry and households. Key sectors include electricity, water, and transport.
• SMEs: Formal SMEs in EMEs face a credit gap of $0.9 to $1.1 trillion, while microenterprises face a gap of $0.5 to $0.6 trillion. These gaps can stifle economic growth and shared prosperity.

2. Role of Institutional Investors

• Institutional investors have shown significant growth and potential to contribute to financing gaps.
• However, their current investment in infrastructure and SMEs is limited due to issues such as risk-return mismatch, lack of transparency, and inadequate risk-sharing mechanisms.
• Fixed income instruments are more attractive to institutional investors than equity investments due to their lower volatility and stable cash flows.

3. Capital Market Instruments

Infrastructure Financing

• Project Bonds: Used in Latin America and recent examples in Kenya, Russia, and South Africa.
• Infrastructure Debt Funds: Examples in India, Peru, and South Africa; Colombia is considering them.
• Sukuk for Infrastructure: Concentrated in Malaysia and GCC countries, performing closer to corporate bonds than project bonds.

SME Financing

• Bond Issuances by Banks: Main source of SME financing in EMEs.
• Bond Issuances by Other SME Lenders: Examples include microfinance institutions in China, Colombia, Guatemala, India, Kenya, Mexico, Morocco, Peru, and Turkey.
• SME Bonds via Alternative Markets: Examples in China and Peru.
• SME Bonds via Private Placement: Examples in Brazil, India, Malaysia, Peru, and Turkey, but limited to larger SMEs.
• SME Debt Funds: One example in Peru.
• SME Funds Based on Receivables and Factoring: Examples in Chile and Peru.
• SME Covered Bonds: A few examples in Turkey.
• SME Loan Securitization: Examples in India, Korea, and recently in China (e.g., Alibaba).
• SME Loan Funds: No known examples so far.

4. Key Challenges

• Enabling Environment:

  • Lack of deep and liquid government yield curves and money markets.
  • Limited credit rating and research services.
  • Inadequate market infrastructure (e.g., payment systems, depositories).
  • Weak macroeconomic stability, tax frameworks, and rule of law, particularly regarding creditors' rights and regulation.

• Availability and Offering of Instruments:

  • Insufficient pipeline of investable assets.
  • Legal and regulatory limitations, especially in securitization and closed-end funds.
  • Inadequate information disclosure and transparency.
  • Financial viability concerns for some instruments.

• Demand from Institutional Investors:

  • Rigid investment frameworks that favor short-term investments.
  • Limited risk analysis capacity.
  • Absence of regulatory guidelines for risk-return alignment and risk-sharing mechanisms.

5. Role of Governments and MDBs

• Governments should prioritize the development of capital market strategies and action plans.
• A high-level governmental authority and committee with public and private sector representation are recommended.
• Regular reporting on progress is essential.
• MDBs can support EMEs by offering advice, risk-sharing mechanisms, and participating in the structuring and underwriting of instruments.

6. Recommendations

• Government Commitment and Leadership:

  • Appoint a high-level authority to lead the effort.
  • Establish a high-level committee for consultation and buy-in.
  • Develop a national policy and strategy for infrastructure and SME financing.

• Enabling Environment:

  • Strengthen fixed income markets by developing government yield curves and money markets.
  • Encourage the establishment and regulation of credit rating agencies and debt analysis services.
  • Improve market infrastructure, including payment systems and depositories.
  • Ensure macroeconomic stability, a clear tax framework, and robust creditor rights.

• Availability of Instruments:

  • Develop a robust pipeline of infrastructure projects and improve feasibility analysis.
  • Create standardized PPP contracts and bidding procedures.
  • Expand the universe of bankable SMEs through credit information improvement and collateral registries.
  • Encourage multi-origination platforms for SME-related assets.

• Demand by Institutional Investors:

  • Reform investment regimes to allow alternative investments.
  • Review prudential frameworks and provide favorable treatment to high-quality assets.
  • Reform short-term incentives and allow fund switching without penalties.
  • Enhance governance and risk management capacities of institutional investors.
  • Develop simple, transparent, and comparable structures for instruments.
  • Support the development of risk-sharing mechanisms such as guarantees.
  • Create a framework for guarantees that is clear, transparent, financially sustainable, impactful, and subject to periodic evaluation.

• Leveraging Global Efforts:

  • Share experiences through global platforms like the Africa 50 Fund, GIF, GIH, and SME Finance Forum.
  • Encourage dissemination of good practices through seminars and workshops.

Key Takeaways

• Institutional investors can play a crucial role in bridging the financing gap for infrastructure and SMEs in EMEs.
• Fixed income instruments are more suitable for institutional investors due to their stability and yield.
• The development of these instruments depends on the maturity of the capital market environment in each EME.
• Middle-income countries have a more developed institutional investor base and should focus on short-term mobilization strategies.
• Low-income countries need to prioritize building an enabling environment for capital markets.
• Collaboration between governments and multilateral development banks is essential for successful implementation.