## Improving Public Investment Efficiency in the G-20

_Policy Papers, September 1, 2015_

## Source details

**Canonical URL:** [Improving Public Investment Efficiency in the G-20](https://www.imf.org/en/publications/policy-papers/issues/2016/12/31/improving-public-investment-efficiency-in-the-g-20-pp4980)

## Other formats

- [Markdown version](/en/publications/policy-papers/issues/2016/12/31/improving-public-investment-efficiency-in-the-g-20-pp4980/index.md)
- [Structured JSON version](/en/publications/policy-papers/issues/2016/12/31/improving-public-investment-efficiency-in-the-g-20-pp4980/index.json)
- [Bundle manifest](/en/publications/policy-papers/issues/2016/12/31/improving-public-investment-efficiency-in-the-g-20-pp4980/bundle-manifest.json)

## Bibliographic details
- Published: September 1, 2015
- Series: Policy Papers

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### Context
- Public investment provides social and economic infrastructure and can be an important catalyst for economic growth.
- Background concerns motivating the analysis:
  - A steady decline in public investment as a share of GDP in advanced economies.
  - Evidence of infrastructure bottlenecks in emerging economies.
  - A sluggish global economic recovery.
- G-20 policy objective referenced: ramping up public investment to raise long-run economic growth (G-20, 2014).
- Subjects tagged: Asset management, Developed countries, Emerging markets, Group of Twenty, Infrastructure, Public investment.

### Summary of the paper
- The paper explores the link between public investment management (PIM) institutions and the efficiency of public investment for the G-20 countries.
- Key high-level conclusion: better PIM enhances public infrastructure quality and helps boost public investment efficiency.
- Analytical basis:
  - A comprehensive data set on investment, infrastructure and capital stocks.
  - Two analytical innovations:
    - (i) a new cross-country Public Investment Efficiency Index (PIE-X);
    - (ii) a new Public Investment Management Assessment (PIMA) applied to G-20 countries.

### Findings
- There is a positive relationship between investment in high-quality public infrastructure and economy-wide productivity, supported by theoretical and empirical research.
- Despite widespread anecdotal evidence of time delays, cost overruns, and inadequate maintenance in projects, there are few robust empirical studies of determinants of public investment efficiency.
- The IMF study cited (IMF 2015) finds that stronger PIM institutions are associated with better public infrastructure quality.

### Methodology and innovations
- Construction and use of a new Public Investment Efficiency Index (PIE-X) for cross-country comparison.
- Application of a new Public Investment Management Assessment (PIMA) framework to G-20 countries.
- Use of a comprehensive dataset covering investment, infrastructure, and capital stocks.

### Policy implications and reform needs
- Improving PIM institutions is central to raising the economic and social returns to public investment.
- The paper pinpoints key institutional reform needs to boost public investment efficiency (specific reforms are identified in the underlying IMF 2015 study).

### Publication and access
- Publication title: Improving Public Investment Efficiency in the G-20
- Publication date: September 1, 2015
- Reference format provided on landing page: Improving Public Investment Efficiency in the G-20, (USA: International Monetary Fund, 0) accessed 9/18/2026

*Source: Improving Public Investment Efficiency in the G-20, International Monetary Fund. Canonical URL: https://www.imf.org/en/publications/policy-papers/issues/2016/12/31/improving-public-investment-efficiency-in-the-g-20-pp4980*

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## Content in this bundle

- **Improving Public Investment Efficiency in the G-20; IMF Policy Paper, September 1, 2015**
  - [Improving Public Investment Efficiency in the G-20; IMF Policy Paper, September 1, 2015 (Markdown version)](/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2015/_090115.pdf.md){rel="alternate" type="text/markdown"}
  - [Improving Public Investment Efficiency in the G-20; IMF Policy Paper, September 1, 2015 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/np/pp/eng/2015/_090115.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/policy-papers/issues/2016/12/31/improving-public-investment-efficiency-in-the-g-20-pp4980_