The MCDF finances on a grant basis, the cost of preparation work for infrastructure and connectivity projects that may be funded by sovereign financing investment by IFI Implementing Partners and investment in partnership with emerging market financiers. The supported project preparation activities are:

  • Pre-feasibility and feasibility studies;
  • Debt sustainability assessments;
  • Environmental and social assessments;
  • Project readiness support: after the completion of a feasibility study, support to timely updating of required documents (notably safeguards) for immediate implementation start; and
  • Pre-concept support: to facilitate project identification and concept development, and to identify appropriate emerging market financiers to partner with on joint project preparation.

The priority sectors for project preparation support include:

Transport and Logistics

Highways and inter-state roads; ports; airports; railway networks; and logistics centers and networks.


Clean technology-based electricity generation, transmission, and distribution; natural gas transmission and distribution; liquefied natural gas (LNG); and various forms of renewable and clean energy with regional content.


Fiber optics cable, especially those intended for high-speed data connection and telecommunications between countries.


Transboundary water projects may be supported, in selected cases, in accordance with the policies and procedures of the concerned Implementing Partners.