Our Strategy
PIDG’s five-year strategy is focused on delivering pioneering infrastructure projects that offer an innovative, agile and sustainable way of combating poverty and delivering high development impact. Through four key strategic priorities, PIDG will provide a vehicle for investment that not only delivers life-changing opportunities for the poorest and most fragile countries, but also delivers sustainable return. Using its unique blended finance approach, PIDG provides a value for money that ensures the long-term viability of its infrastructure projects.
Operating at the frontier, be that through the lens of geographies, sectors, products or standards, PIDG develops early-stage projects that explore new approaches or technologies – creating investment-ready, bankable infrastructure opportunities as well as building local capability and capacity, while providing innovative financing solutions.
Our Strategic Priorities
PIDG’s strategy builds on its success and enhanced governance and control framework. This supports a more systematic and robust approach, enabling PIDG to deliver greater impact and underpinning its ambition. By focusing on its strategic priorities, PIDG will retain its uniqueness, build on its market-moving ability and maintain its niche. PIDG is focused on delivering projects that offer scale, replicability, affordability and transformation.
Combined with the identification and leverage of programmatic themes, PIDG will apply these lenses to deliver greater development impact while continuously improving value for money for its Owners.
1
Scale
PIDG is committed to providing infrastructure services that create benefits for a large number of both people and businesses. Through large-scale infrastructure associated with economic zones, such as on-grid renewable and clean water projects, PIDG will create benefits not only for individual households, but also for the economy as a whole.
2
Replicability
PIDG focuses on projects that can be replicated not only by ourselves in the future, but by our partners or even others. Through initial development of small scale or pilot projects, and the use of innovative replicable models, be that financially or technologically, PIDG ensures that transaction costs are reduced, and growth is achieved at an increased speed.
3
Affordability
PIDG is committed to enabling access to infrastructure for low-income groups, or which improve overall economic efficiency and competitiveness. Through initiatives such as affordable housing and affordable agri-processing solutions, PIDG ensures that its projects have the most impact upon those who have less.
4
Transformation
We believe in delivering projects that truly offer fundamental changes in behaviour or market functions. Through the example set by its new models for private sector investment in water, PIDG will deliver genuinely transformative projects that strengthen the capacity of local developers, develop local capital markets, improve investor confidence and also empower women.
PIDG will also seek to identify other themes common across the PIDG companies which can be considered further, provided they meet the criteria for delivery of impact and value for money.
PIDG will identify a pathway to be financially sustainable at the consolidated PIDG level in the medium-term. To achieve this, PIDG requires the ongoing profitability of its Credit Solutions business, albeit with an expanded product offering. In addition, the implementation of an intra-group funding model which supports ongoing operating expenses, whilst capital gains on disposal and the subsequent recycling of funding on disposal are achieved.
PIDG aims to be risk-aware, as opposed to risk-averse. PIDG’s niche arises from taking on projects that others cannot or will not do yet, and so the risks are intrinsically high. PIDG’s strategic approach is to understand these risks, mitigate them as far as possible and make informed judgments about whether the residual risk in a particular project is justified by its expected impact, its sustainability and its long-term nature.
PIDG’s niche arises from taking on projects that others cannot or will not do yet.
