PROJECT-LEVEL DETERMINANTS OF TOTAL INVESTMENT IN GREENFIELD INFRASTRUCTURE PROJECTS

This study examines the relationship between project-level characteristics and total investment in greenfield infrastructure projects. While existing foreign direct investment literature primarily focuses on macroeconomic and institutional determinants, project-specific characteristics remain comparatively underexplored. Using a dataset of 131 infrastructure projects obtained from the World Bank Private Participation in Infrastructure (PPI) database, the study applies multiple linear regression analysis to evaluate the effects of physical assets, project capacity, procurement conditions, financial structure, and country-level characteristics on investment size. The results show that physical assets have a positive and statistically significant effect on total investment, confirming the capitalintensive nature of greenfield infrastructure development. In contrast, project capacity demonstrates a significant negative relationship, suggesting the presence of operational efficiency or economies of scale. Other variables, including procurement competition, financial structure, and country-level conditions, do not demonstrate statistically significant effects. The findings provide empirical evidence that investment size in greenfield infrastructure projects is influenced more strongly by internal project characteristics than by broader external conditions. The study contributes to project-level infrastructure investment literature and highlights the importance of technical planning, infrastructure configuration, and operational assessment in investment decision-making.

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