Federal government to step up support for sustainable infrastructure in developing countries
Bern, 05.06.2026 — Switzerland is to provide USD 70 million in support of the Private Infrastructure Development Group (PIDG). The Federal Council took this decision at its meeting on 5 June. PIDG mobilises private sector capital to develop sustainable basic infrastructure in sub-Saharan Africa and South and Southeast Asia.
In view of the significant need for sustainable infrastructure in developing countries and the strong results achieved by PIDG, the Federal Council has approved a ninth contribution of USD 70 million for the period 2026–2030. Switzerland's support allows PIDG to provide a coordinated, robust response with other like-minded donors to the challenges of sustainable infrastructure in developing countries.
Infrastructure deficits in low- and middle-income countries are significant; for example, 666 million people worldwide have no access to electricity and a third of the world’s population is not connected to a digital network. The World Bank estimates that the cost of funding these infrastructure gaps amounts to USD 2.7 trillion annually. Of this, there is a funding shortfall of around USD 0.7 trillion. Public funds alone cannot meet this requirement, but they can provide incentives to attract additional investment from the private sector.
Since its inception, PIDG has invested USD 5.6 billion in 258 sustainable infrastructure projects and mobilised USD 29.8 billion in private capital. The projects supported by PIDG enable 232 million people to gain access to new or improved infrastructure.
PIDG plans to continue growing over the next few years: The 2023–2030 strategy aims to double annual investment to USD 1 billion. While more than half of the projects are currently being implemented in the least developed countries, PIDG is targeting growth in middle-income countries in the future. The aim is to carry out large-scale infrastructure projects there that are as low-carbon as possible. At least 50 per cent of PIDG’s new commitments are climate-related investments.