Back from S?o Paulo: Witness to Development Progress in Action

I was in S?o Paulo, Brazil last week. The opportunity gave me a front-row seat on the progress underway to advance and sustain development gains for the people who call S?o Paulo home. It also provided insightful lessons for development across Brazil as well as in other emerging markets. Three things stood out for me about S?o Paulo’s development journey and how other developing countries can learn from it as a source of both inspiration and replication:

A market for transparently structured and tendered PPPs: First, S?o Paulo realizes that to provide the essential services its residents need, government resources alone are not enough. That’s why working with the private sector to close gaps is critical for Brazil’s sustainable development. I was pleased to hear how Brazilian counterparts welcome and value IFC’s quality guidance in transparently structuring partnerships with the private sector. Many, in fact, describe working with IFC as a ‘’stamp of approval.’’ From highways and urban mobility, to sanitation and water, to waste management and energy generation from waste, various sector opportunities seek to engage and leverage the private sector, including attracting equity investors, to deliver key projects. In my conversation with Brazil’s National Land Transportation Agency (ANTT), it was also good to learn of the firm commitment to transparent and effective regulations as part of the process of building high-quality infrastructure.

?A center for world-class innovation: Second, innovation fuels effectiveness and efficiency. Technology, in turn, enables innovation at speed and scale to make a difference for people and communities. I saw this in the design of weigh bridges and toll roads that make necessary calculations without vehicles having to stop … nor backing up traffic. I saw this in projects generating sustainable value and promoting environmental benefits, such as biogas and biomethane. And I also saw this in the Pinheiros River’s revitalization, as the pumping of concentrated oxygen into it is resuscitating its fish stock. What an absolute pleasure to meet Cristina Zuffo, the woman engineer leading this groundbreaking green work!

A driver for sustainability and inclusion: Third, the proactive adoption of environmental, social and governance principles, as well as gender inclusion, surfaced throughout all my interactions. Private sector and government officials, financial institutions, and development banks didn’t need to be prompted to proudly share their deeply held commitment to ESG standards and to ensuring that women and the traditionally underserved benefit fully from development progress. For example, one infrastructure operator I met was so proud to share with me how all his employees signed a public statement of support to implement ESG guidelines. In another case, the growing role of women in operational and technical roles was highlighted, including training more women to drive public trains.??

Partnering with the private sector, embracing innovation and technology, valuing sound environmental, social, and governance standards, and including women and the underserved offer excellent ways to achieve and sustain development gains. Just as this is working in S?o Paulo, it is also a recipe for results throughout all of Brazil … and beyond.

?Check out my posts directly from S?o Paulo:

• At the B3 for the BR-040 auction
• Meeting with ANTT
• Inspiration & Ideas from Four Women Leaders ?