What is the IFC's role in financing infrastructure projects?

The correct answer highlights the International Finance Corporation's (IFC) role in supporting infrastructure projects through Public-Private Partnership (PPP) models. The IFC is instrumental in facilitating investment in infrastructure, particularly in developing countries, where funding can be challenging to secure. By leveraging PPPs, the IFC not only provides financing but also promotes collaboration between public entities and private investors, allowing for shared risks and resources. This model encourages efficiency and innovation, which are critical for successful infrastructure development.

Through its expertise, the IFC helps structure these partnerships, providing not just capital but also guidance on best practices, addressing environmental and social sustainability, and ensuring adherence to international standards. This holistic approach significantly enhances the viability and sustainability of infrastructure projects.

In contrast, focusing solely on equity funding would limit the IFC's ability to mobilize diverse financing sources for infrastructure, while conducting project management or regulating project implementation does not encapsulate the primary financial support role that the IFC plays in these partnerships. Thus, the emphasis on PPPs showcases the IFC's multifaceted approach to financing infrastructure development effectively.