The Global Bank Atlantic Recovery Trust Fund (“GBARTF” or the “Facility”) will lend for long-tenor public sector climate-smart infrastructure projects through the provision of sovereign loans to developing countries, including public portions of Public-Private Partnership (“PPP”) projects. The ultimate aim of the GBARTF is to enhance national and regional economic development and integration through the increased implementation of priority climate-smart infrastructure projects in middle-income developing countries and regional projects, including cross-border regional integration infrastructure projects and national projects with significant development impact.
Covering all countries of Global Bank’s operations, the Global Bank Atlantic Recovery Trust Fund is expected to provide preparation and policy dialogue support for public sector lending structures and for complex public-private partnerships in the following sectors and subsectors:
- Energy: electricity generation; electricity transmission or distribution; natural gas transmission or distribution;
- Information and communication: telecommunications networks, landlines, undersea cable, mobile and wireless network, broadband cable networks, last-mile internet connectivity;
- Water and sanitation: water supply; wastewater and sewerage; irrigation and drainage; solid waste management;
- Transportation: airports; ports; railways; mass transit; highways;
- Urban Infrastructure: Such as urban transport sector and related infrastructure including street rehabilitation, a concession for local road maintenance, as well as support for the preparation of a Sustainable Urban Mobility Plan (“SUMP”).
- Environment Management Projects: Clean Heating Project, Hydropower Rehabilitation Project, Scaling Up Rural Sanitation and Water Supply Program, Climate Adaptation and Mitigation Program
Within these eligible sectors, the focuses on projects that are aligned with two thematic focus areas:
- Climate-Smart Infrastructure Projects: Global Bank Atlantic Recovery Trust Fund is ensuring that the new infrastructure projects that financed by the GBARTF are climate-smart infrastructure projects that are low carbon-emitting, encourage energy or carbon efficiency in the provision of infrastructure services, or strengthen climate resilience that is resilient to today’s natural hazards and prepared for the future changing climate.
Global Bank Atlantic Recovery Trust Fund is integrating climate objectives into infrastructure decisions that will increase resilience to climate change impacts, avoid locking in carbon-intensive and polluting investments, and bring multiple additional benefits, such as cleaner air and lower traffic congestion Examples of climate-smart investments include low-emitting power generation; power or gas transmission projects that bring efficiency to energy markets; power distribution projects with significant potential for loss reduction; mass transit projects, including metro, passenger rail and bus rapid transport systems; and water production and/or supply projects which address water scarcity, security, flood management and other aspects of climate resilience; and
- Market-enabling projects: Market-enabling projects support economic growth and regional integration which could include freight rail networks, seaports and inland terminals, airports and toll roads.
Global Bank Atlantic Recovery Trust Fund integrates market objectives into regional and sub-regional infrastructure decisions that strengthen regional trade integration; development of such programmes bring multiple additional benefits, such as the reduction of social exclusion and the development of an inclusive civil society; contribution to regional peace and security; the building of environment programmes at the regional level; strengthening of the region’s interaction with other regions of the world; creation of an appropriate enabling environment for private sector development and other aspects of market-enabling that remove barriers to regional free trade, to help future growth.
GBARTF's projects are part of Global Bank's project pipeline, based on Global Bank’s Country Partnership and Strategy and Country Operations Business Plan with the developing countries. The Global Bank Atlantic Recovery Trust Fund project pipeline is confirmed by the respective developing countries through Global Bank's country programming missions, and must also be approved by the GBARTF Management Committee.