Transport

No Development Without Transport

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Good transport infrastructure - fundamental for sound economic growth. Source: KfW Photo Archive / Thomas Klewar

The promotion of transport is not an independent development objective, nor is it one of the Millennium Development Goals (MDGs). However, the transport sector makes a vital contribution to the attainment of these goals.

A good transport infrastructure is fundamental to sound economic development.
It is a prerequisite for a trade and market economy, the division of labour and specialisation, economic growth and participation in the global market, as well as for jobs and income. Investment in transport is a key poverty reduction instrument.

Transport plays a major role in environmental protection. Economic growth and greater mobility also lead to an increase in energy consumption and pollutant emissions. In dynamically developing countries, the transport sector with its roadways and airplanes is -  due to insufficient alternatives or a lack of alternatives altogether - the fastest-growing consumer of energy and generator of carbon dioxide. And this has a global impact. KfW Entwicklungsbank therefore specifically supports projects in which energy is used as efficiently as possible and environmentally friendly means of transport are promoted.

Transport systems are indispensable as a means of providing access to education, health and political participation. A better transport infrastructure also contributes to gender equality. Appropriate means of transport have the potential to enhance women's independence, enable them to take part in public life and improve their safety.

Transport systems can only really fulfil their tasks if the relevant underlying sectoral conditions are in place, and good governance is also a prerequisite for project success. Frequently, necessary political and structural reforms are initiated and advanced through transport projects.


Further Information

Study: Transport in China (PDF, 882 KB, non-accessible)

Last updated: May 2012