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Sri Lanka achieved middle-income-country status in January 2010, on the strenght of of the economic growth fueled by the liberalization policy introduced in the late 1970s and pursued albeit unevenly in the following years. To continue growing, however, Sri Lanka needs to pay attention to its much neglected infrastructure. Accordingly, this report, aims to provide policy makers in Sri Lanka with a sound analytical basis for prioritizing investments and designing policy interventions that result in the mobilization of funds and their effective use for future development of Sri Lanka’s infrastructure, and also to improve understanding of the infrastructure sectors in Sri Lanka, including their current state and performance, future development needs, investment requirements and financing gaps, and bottlenecks to infrastructure development.The report assesses the country’s infrastructure endowment and performance, analyzes the contribution of infrastructure to economic and spatial development, and outlines investment needs and strategic priorities within those established by the Mahinda Chintana. It provides a cross-sectoral analysis of the major infrastructure cross-cutting themes including the link between infrastructure and poverty reduction and economic growth; the institutional and regulatory framework; the main issues regarding planning, coordination, and financing; and the role and constraints of private sector participation in infrastructure financing and service provision. It identifies bottlenecks to economic growth and considers policy issues to address them.

Economic development --- Infrastructure (Economics) --- Public investments --- Government policy --- Government investments --- Investments, Public --- Capital, Social (Economics) --- Economic infrastructure --- Social capital (Economics) --- Social infrastructure --- Social overhead capital --- Development, Economic --- Economic growth --- Growth, Economic --- Expenditures, Public --- Investments --- Capital budget --- Economic development projects --- Investment of public funds --- Human settlements --- Public goods --- Public works --- Capital --- Economic policy --- Economics --- Statics and dynamics (Social sciences) --- Development economics --- Resource curse --- Finance

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If the South Asia region hopes to meet its development goals and not risk slowing down or even halting growth, poverty alleviation, and shared prosperity, it is essential to make closing its huge infrastructure gap a priority. Identifying and addressing gaps in the data on expenditure, access, and quality are crucial to ensuring that governments make efficient, practical, and effective infrastructure development choices. This study addresses this knowledge gap by focusing on the current status of infrastructure sectors and geographical disparities, real levels of investment and private sector participation, deficits and proper targets for the future, and bottlenecks to expansion. The findings show that the South Asia region needs to invest between USD 1.7 trillion and USD 2.5 trillion (at current prices) to close its infrastructure gap. If investments are spread evenly over the years until 2020, the region needs to invest between 6.6 and 9.9 percent of 2010 gross domestic product per year, an estimated increase of up to 3 percentage points from the 6.9 percent of gross domestic product invested in infrastructure by countries in the region in 2009. Given the enormous size of the region's infrastructure deficiencies, it will need a mix of investment in infrastructure stock and supportive reforms to close its infrastructure gap. One major challenge will be prioritizing investment needs. Another will be choosing optimal forms of service provision, including the private sector's role, and the decentralization of administrative functions and powers.

Economic Theory & Research --- Finance and Financial Sector Development --- Financing --- Infrastructure Economics --- Infrastructure Economics and Finance --- Infrastructure Needs --- Macroeconomics and Economic Growth --- Non Bank Financial Institutions --- Prioritization --- Public Sector Development --- Transport --- Transport Economics Policy and Planning --- Water Supply and Sanitation

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This paper develops a dynamic model that explains the pattern of population and production allocation in an economy with an urban location and a rural one. Agglomeration economies make urban dwellers benefit from a larger population living in the city and urban firms become more productive when they operate in locations with a larger labor force. However, congestion costs associated with a too large population size limit the process of urban-rural transformation. Firms in the urban location also benefit from a public good that enhances their productivity. The model predicts that in the competitive equilibrium the urban location is inefficiently small because households fail to internalize the agglomeration economies and the positive effect of public goods in urban production.

Agglomeration Economies --- Communities & Human Settlements --- Congestion Costs --- Economic Theory & Research --- Health, Nutrition and Population --- Labor Policies --- Macroeconomics and Economic Growth --- National Urban Development Policies & Strategies --- Population Policies --- Public Goods --- Rural-Urban Transformation --- Social Protections and Labor --- Urban Development --- Urban Housing and Land Settlements

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The private provision of biodiversity products and services is proving to be quite feasible in some circumstances.  Some biodiversity products and services are already being profitably marketed. Private markets also need to be supported by appropriate public policies. This publication provides a conceptual framework for market creation in the biodiversity policy arena, as well as several examples of where the use of markets can assist policy makers in the search for more sustainable use and conservation of biodiversity.

Biological diversity. --- Biological diversity conservation. --- Green marketing. --- Sustainable development. --- Wildlife products industry. --- Science. --- Natural history. --- Business. --- Environmental Studies. --- Biodiversity --- Biodiversity conservation --- Wildlife products industry --- Economic aspects. --- Marketing. --- Development, Sustainable --- Ecologically sustainable development --- Economic development, Sustainable --- Economic sustainability --- ESD (Ecologically sustainable development) --- Smart growth --- Sustainable development --- Sustainable economic development --- Economic development --- Animal industry --- Biological diversification --- Biological diversity --- Biotic diversity --- Diversification, Biological --- Diversity, Biological --- Biology --- Biocomplexity --- Ecological heterogeneity --- Numbers of species --- Ecological marketing --- Ecomarketing --- Environmental advertising claims --- Environmental consumerism --- Environmental marketing --- Green products --- Marketing --- Environmental aspects --- Green marketing --- Economic aspects