PAPER ON INFRASTRUCTURE DEVELOPMENT AND ECONOMIC ...

INTRODUCTIONInfrastructure is defined here to include the sectors of transport, waterand sanitation, power, telecommunication, etc. It represents a largeportfolio of expenditure in all countries, ranging from a third to onehalfof the public investment (equivalent is roughly 3-6 percent ofGDP). Since the mid 1980’s, there has been evidence of increasingconcern and debate about the performance of infrastructureamongeconomic policy makers, politicians and the public in bothdeveloped and developing countries- and a resurgence of researchon the impact of infrastructure on economic development.Infrastructure contributes to economic growth (acting through bothdemand and supply). In an aggressive sense, the character and theavailability of infrastructure influence the marginal productivity ofprivate capital; public investment complements private investment.At the microeconomic level, this effect of infrastructure is seenspecifically through.J. Ajayi Patunola & Co.. Estate Surveyors & Valuers 3