Electric Mobility in Developing Countries: Cost Benefit Analysis and Policy Guidance

Overview & Synopsis

This report builds on the analytical framework first developed in a 2023 World Bank publication. While the earlier study focused on passenger vehicle electrification across 20 countries through 2030, the analysis in the present report expands to both passenger and freight vehicles and extends across 40 developing countries through 2035, providing a more complete picture of electrification in the transport sector. Meanwhile, the present study refines the earlier model using more granular and up-to-date data and parameters and expands the capacity to assess the financial viability of electric vehicles (EVs) from the perspective of individual users or operators over a vehicle’s lifetime. Additionally, this study provides initial insights into how the shift to EVs may affect manufacturing jobs. The report addresses when, where, and for which vehicle segments the transition to EVs makes economic sense, and how the transition can be governed and integrated into broader mobility development strategies. Segment-specific policy recommendations informed by the analytical findings are offered to support decision-makers seeking policy guidance in the evolving EV market.