A Long-Term Partnership: How BRICS Countries Attract Private Capital to Infrastructure

According to the Ministry of Economic Development, as of July 1, 2026, Russia had concluded nearly 4,600 concession and PPP agreements, with a total investment of 8 trillion rubles, 75% of which came from private sources. Transport leads in investment volume (63%), while utilities account for the largest number of agreements (more than 75%). The largest project is the Moscow–St. Petersburg high-speed rail line: 2.1 trillion rubles, including 1.5 trillion in private capital. In 2025, 341 agreements were concluded, worth 805 billion rubles, but in the first half of 2026, according to preliminary data, there were only 53 agreements worth 42 billion rubles. Experts attribute the slowdown to the high cost of borrowing.

In November 2023, Chinese authorities introduced a “new mechanism” for PPPs, under which projects were shifted to user-pays concessions, while private businesses are generally required to account for at least 35% of investment in projects of public importance. The maximum concession term was extended to 40 years. The goal is to curb hidden debt held by local governments. In November 2025, the State Council instructed officials to review the list of concession projects open to private companies.

In February 2026, India launched the second phase of its National Monetisation Pipeline (NMP 2.0). Its potential for fiscal years 2026–2030 is estimated at 16.72 trillion rupees, including 5.8 trillion rupees in private investment. The instruments include PPP concessions, infrastructure investment trusts, and securitisation. The largest share (26%) is allocated to highways, logistics parks, and ropeways. The first phase of the programme was about 90% complete.

In 2025, Brazil’s investment in transport and logistics reached 76.5 billion reais—the highest level since 2015—with 53.6 billion reais provided by the private sector through concessions and PPPs. The state-owned bank Caixa supports municipal projects; its portfolio includes 130 contracts to structure PPPs with more than 40 billion reais in private investment. Meanwhile, a new law on concessions and PPPs, approved by the lower house in May 2025, is still awaiting consideration in the Senate; market participants do not expect a vote before the elections are over.

South Africa’s flagship initiative is its procurement programme for independent renewable energy producers; as of October 2025, 6,559 MW of capacity under the programme was in commercial operation. Amendments to the PPP rules simplifying approval for smaller projects have been in force since June 1, 2025. In Egypt, 30 PPP projects worth 41 billion Egyptian pounds were approved and launched during fiscal year 2024/25. A 10 million euro project-preparation fund was established jointly with the EBRD, and in April 2026 the Ministry of Finance announced more than 20 new projects. In January 2026, Saudi Arabia’s ACWA Power submitted bids for three major seawater desalination projects under a PPP model.

The BRICS financial track includes a PPP and Infrastructure Task Force; in May 2025, it held its meeting in the UAE for the first time. The key new initiative is the BRICS Multilateral Guarantees (BMG), which is being piloted through the New Development Bank. Negotiators estimate that every dollar of guarantees could attract 5–10 dollars in private capital. The declaration of the 18th summit in New Delhi (September 12–13, 2026) reaffirmed support for the initiative and called on the bank to expand financing in national currencies. As of the end of the first quarter of 2026, the New Development Bank had approved 140 projects worth 42.9 billion dollars.

PPP models differ across BRICS countries: Russia’s concession model, China’s user-pays approach, India’s asset monetisation, and South Africa’s energy procurement tenders. But they share common goals: attracting long-term financing, reducing currency risks, and easing pressure on public budgets. The practical value of cooperation lies in sharing experience and developing joint risk-mitigation tools.

Author: PhD in Economics, Associate Professor, Department of World Economy and International Finance, Financial University under the Government of the Russian Federation, Ruslan Vladislavovich Ozarnov.