ABSTRACT
This chapter examines some of the major facets of funding and development that impact upon macro-projects in the context of international environment. Macro-engineering projects are becoming larger, costlier and more complex; are subject to increasing risks and uncertainties because of worldwide economic and social dynamics and frequently require the capital support of national governments and/or international organizations. The undertaking of macro-projects requires massive resources and involves numerous parties, all of which must be closely coordinated in the development, execution and operational phases of each such project. Governments aid project development by guaranteeing loans and by allocating funds in the form of grants, concessional lending, export credits and investment guarantees. A macro-project is generally so capital intensive that it must be financed from a variety of such sources, including international commercial banks, eurodollar lenders, local currency sources, institutional lenders in the United States or Europe, export credit agencies, the World Bank and development banks.
