A Conceptual Framework for Multilateral Capital Mobilization and Financial Strategy in Global Infrastructure and Energy Finance

• Author(s): Kehinde Oyediji; Olaniyi Oluwaseun Oladepo
• Paper ID: 1713083
• Page: 1-22
• Published Date: 31-12-2025
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 9 Issue 7 January-2026

Abstract

This paper develops a conceptual framework for multilateral capital mobilization and financial strategy in global infrastructure and energy finance, addressing the growing demand for large-scale, long-term investment under conditions of fiscal constraint, climate risk, and geopolitical uncertainty. Infrastructure and energy projects increasingly rely on complex financing arrangements involving multilateral development banks, sovereign funds, export credit agencies, private investors, and blended finance mechanisms. The proposed framework synthesizes insights from development finance, project finance, and strategic financial management literature to explain how capital can be efficiently mobilized, structured, and governed across jurisdictions. The framework emphasizes the strategic role of multilateral institutions as catalysts that de-risk projects, crowd in private capital, and enhance bankability through guarantees, concessional finance, policy coordination, and technical assistance. It integrates key dimensions including capital stacking, risk-sharing instruments, currency and political risk mitigation, and governance alignment among public and private stakeholders. Particular attention is given to energy and infrastructure assets characterized by long gestation periods, regulatory exposure, and systemic importance to economic development and energy security. The conceptual model further highlights the interaction between financial strategy and policy coherence, demonstrating how regulatory stability, transparent procurement, and credible transition pathways influence investor confidence and financing costs. Sustainability considerations are embedded within the framework through environmental, social, and governance integration, climate finance alignment, and impact measurement, reflecting the centrality of sustainable development goals in contemporary infrastructure and energy finance. By consolidating fragmented approaches into a unified strategic lens, the framework offers a tool for policymakers, financiers, and project sponsors to design scalable financing structures that balance risk, return, and development impact. It contributes to theory by linking multilateral finance functions with strategic financial decision-making, and to practice by informing the design of resilient capital mobilization strategies capable of supporting infrastructure expansion, energy transition, and inclusive growth across advanced and emerging economies. Overall, the framework responds to financing gaps by clarifying roles, sequencing decisions, strengthening accountability, improving transparency, aligning incentives, enhancing coordination, supporting innovation, and offering guidance for future empirical research, institutional reform, capacity building, and policy experimentation within complex multilateral infrastructure and energy investment ecosystems worldwide across regions and development contexts.

Keywords

Multilateral Capital Mobilization; Infrastructure Finance; Energy Finance; Financial Strategy; Blended Finance; Development Finance; ESG Integration

Citations

IRE Journals:
Kehinde Oyediji, Olaniyi Oluwaseun Oladepo "A Conceptual Framework for Multilateral Capital Mobilization and Financial Strategy in Global Infrastructure and Energy Finance" Iconic Research And Engineering Journals Volume 9 Issue 7 2026 Page 1-22

IEEE:
Kehinde Oyediji, Olaniyi Oluwaseun Oladepo "A Conceptual Framework for Multilateral Capital Mobilization and Financial Strategy in Global Infrastructure and Energy Finance" Iconic Research And Engineering Journals, 9(7)