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Public Private Partnerships and Development

Public Private Partnerships and Development. Razvojni program ujedinjenih nacija. Advantages of PPPs. Efficiencies: faster completion time and better quality 2. Greater flexibility for policymakers. PPPs stimulate development…but success dependant on the right framework and knowledge.

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Public Private Partnerships and Development

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  1. Public Private Partnerships and Development Razvojni program ujedinjenih nacija

  2. Advantages of PPPs • Efficiencies: faster completion time and better quality • 2. Greater flexibility for policymakers. • PPPs stimulate development…but success dependant on the right framework and knowledge

  3. PPPs as remedy for budget constrains • Characteristic challenges for government: • 1. Public pressure for lower prices leads to loss-making ventures • 2. Inefficient spending and budget shortfalls • 3. Inability to keep pace with developments

  4. Relationships with private-sector partners : • mispricing, cost overruns, and lack of transparency minimized through private sector governing principles. • Access to investment funds and innovative financing • Robust investment sources enable adjustment of services in terms of supply and geographic scope • Private-sector organizations can attract and offer new services.

  5. How PPPs fuel development 1. PPPs free up government resources for other priority sectors in the economy 2. Bring capital into the market while creating long-term employment. 3. Share international business practices and standards 4. Supporting local business development - forward and backward linkages, especially important with small, medium and micro-enterprises

  6. 5. Developing human capitalProviding training and health benefits in the workplace and along the corporate supply chain 6. Creating physical and institutional infrastructureFrom telecommunications and transport to legal and financial frameworks 7. Transferring technologyIn particular in areas such ads information technology, environmental and other locally applicable technologies 8. Providing goods and servicesThat meet local needs and that offer increased access for poorer communities in the case of basic goods and services, such as medicines, energy, water and credit

  7. Standards of living • PPPs foster service expansion - incentive to invest more resources to expand services and improve customer service to generate profit. • Operate with greater efficiency. Incentives exist to reduce waste and improve revenue collection through new practices • Faster delivery in less time due to incentives and capital which allows lagging projects to be expedited

  8. Government Role • minimize economic and political risks to attract more PPPs to its market  • optimization of private-sector commitments through greater private sector involvement in PPP arrangements • sound regulatory system to maximize resource commitment and transfer of know-how. • curbing opportunities for corruption

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