Enforcing Public-Private Partnership Contract: How do Fiscal Institutions Matter?

Enforcing Public-Private Partnership Contract: How do Fiscal Institutions Matter?
Author: Manabu Nose
Publisher: International Monetary Fund
Total Pages: 32
Release: 2017-11-15
Genre: Business & Economics
ISBN: 1484328280

Public-private partnerships (PPPs) have increased rapidly in emerging and developing countries, creating both opportunities and fiscal challenges. One of the main challenges is that while governments have increased commitments in guarantees and direct subsidies to promote PPPs, contractual disputes remain high with significant costs. This paper examines how fiscal institutions affect the selection of PPP contracts and the probability of contract disputes using about 6,000 PPP contract-level data. The analysis shows that larger government financing needs, lower budget transparency and bureaucratic efficiency are associated with higher probability for governments to offer guarantees. Propensity score matching results show that disputes are more common for guaranteed contracts due to adverse selection and contingent liability effects. PPP management quality and budget transparency are found to be key determinants for a longer survival of PPPs.

Enforcing Public-private Partnesrhip Contract

Enforcing Public-private Partnesrhip Contract
Author: Manabu Nose
Publisher:
Total Pages: 32
Release: 2017
Genre:
ISBN:

Public-private partnerships (PPPs) have increased rapidly in emerging and developing countries, creating both opportunities and fiscal challenges. One of the main challenges is that while governments have increased commitments in guarantees and direct subsidies to promote PPPs, contractual disputes remain high with significant costs. This paper examines how fiscal institutions affect the selection of PPP contracts and the probability of contract disputes using about 6,000 PPP contract-level data. The analysis shows that larger government financing needs, lower budget transparency and bureaucratic efficiency are associated with higher probability for governments to offer guarantees. Propensity score matching results show that disputes are more common for guaranteed contracts due to adverse selection and contingent liability effects. PPP management quality and budget transparency are found to be key determinants for a longer survival of PPPs.

Enforcing Public-Private Partnership Contract: How do Fiscal Institutions Matter?

Enforcing Public-Private Partnership Contract: How do Fiscal Institutions Matter?
Author: Manabu Nose
Publisher: International Monetary Fund
Total Pages: 32
Release: 2017-11-15
Genre: Business & Economics
ISBN: 1484329074

Public-private partnerships (PPPs) have increased rapidly in emerging and developing countries, creating both opportunities and fiscal challenges. One of the main challenges is that while governments have increased commitments in guarantees and direct subsidies to promote PPPs, contractual disputes remain high with significant costs. This paper examines how fiscal institutions affect the selection of PPP contracts and the probability of contract disputes using about 6,000 PPP contract-level data. The analysis shows that larger government financing needs, lower budget transparency and bureaucratic efficiency are associated with higher probability for governments to offer guarantees. Propensity score matching results show that disputes are more common for guaranteed contracts due to adverse selection and contingent liability effects. PPP management quality and budget transparency are found to be key determinants for a longer survival of PPPs.

Mastering the Risky Business of Public-Private Partnerships in Infrastructure

Mastering the Risky Business of Public-Private Partnerships in Infrastructure
Author: Manal Fouad
Publisher: International Monetary Fund
Total Pages: 61
Release: 2021-05-10
Genre: Business & Economics
ISBN: 1513576569

Investment in infrastructure can be a driving force of the economic recovery in the aftermath of the COVID-19 pandemic in the context of shrinking fiscal space. Public-private partnerships (PPP) bring a promise of efficiency when carefully designed and managed, to avoid creating unnecessary fiscal risks. But fiscal illusions prevent an understanding the sources of fiscal risks, which arise in all infrastructure projects, and that in PPPs present specific characteristics that need to be addressed. PPP contracts are also affected by implicit fiscal risks when they are poorly designed, particularly when a government signs a PPP contract for a project with no financial sustainability. This paper reviews the advantages and inconveniences of PPPs, discusses the fiscal illusions affecting them, identifies a diversity of fiscal risks, and presents the essentials of PPP fiscal risk management.

Uncitral Legislative Guide on Public-Private Partnerships

Uncitral Legislative Guide on Public-Private Partnerships
Author: United Nations
Publisher:
Total Pages: 300
Release: 2020-12-28
Genre: Political Science
ISBN: 9789211303995

The Model Legislative Provisions and the Legislative Guide on Public-Private Partnerships were prepared by the United Nations Commission on International Trade Law (UNCITRAL) and adopted at its fifty-second session (Vienna, 8-19 July 2019). In addition to representatives of member States of the Commission, representatives of many other States and of several international organizations, both intergovernmental and non-governmental, participated actively in the preparatory work. The Model Legislative Provisions translate into legislative language the advice given in the recommendations contained in the Legislative Guide. The Model Legislative Provisions are intended to assist in the establishment of a legislative framework favourable to public-private partnerships (PPPs). The Model Legislative Provisions follow the corresponding notes in the Legislative Guide, which offer an analytical introduction with references to financial, regulatory, legal, policy and other issues raised in the subject area. The user is advised to read the Model Legislative Provisions together with the Legislative Guide, which provide background information to enhance understanding of the legislative recommendations. The Model Legislative Provisions deal with matters that it is important to address in legislation specifically concerned with PPPs. They do not deal with other areas of law that, as discussed in the Legislative Guide, also have an impact on PPPs. Moreover, the successful implementation of PPPs typically requires various measures beyond the establishment of an appropriate legislative framework, such as adequate administrative structures and practices, organizational capability, technical expertise, appropriate human and financial resources and economic stability.

Public Private Partnerships

Public Private Partnerships
Author: Akintola Akintoye
Publisher: Routledge
Total Pages: 433
Release: 2015-09-16
Genre: Technology & Engineering
ISBN: 131741537X

This timely new book provides an international perspective on Public Private Partnerships. Through 21 case studies, it investigates the existing and fast developing body of principles and practices from a wide range of countries and is the first book to bring together leading international academics and practitioners under a common framework that enables convenient cross-country comparisons. The authors focus on the impact of the financial crisis has had on how governments have reviewed and overhauled their PPP policies as they have examined or tested new ways of partnering more effectively, efficiently and sustainably with the private sector. Readers will be able to gauge the level of maturity of PPP development in the book’s case studies, understand similarities and differences in their practices, and gain useful insights into the regulatory framework and institutional infrastructure in place to support implementation of PPP. Finally, the book offers insights into the future challenges and opportunities that PPP offers stakeholders.

Public Private Partnerships

Public Private Partnerships
Author: Sara Valaguzza
Publisher: Edward Elgar Publishing
Total Pages: 256
Release: 2020-01-31
Genre: Law
ISBN: 1789903734

This insightful book critically examines the phenomenon of public private partnerships through a global, theoretical, lens. It considers the reasons for merging private entities and public administration, as well as the processes and consequences of doing so. The benefits for the community as well as the radical changes in the principles and modalities of administrative activity are theorized and discussed.

How to Control the Fiscal Costs of Public-Private Partnerships

How to Control the Fiscal Costs of Public-Private Partnerships
Author: Mr.Timothy C Irwin
Publisher: International Monetary Fund
Total Pages: 14
Release: 2018-10-16
Genre: Business & Economics
ISBN: 1484380924

This note discusses what finance ministries can do to ensure that public-private partnerships (PPPs) are used wisely. By inviting private participation in infrastructure development and service provision, PPPs can help improve public services. Yet, strong governance institutions are needed to manage risks and avoid unexpected costs from PPPs. While in the short term, PPPs may appear cheaper than traditional public investment, over time they can turn out to be more expensive and undermine fiscal sustainability, particularly when governments ignore or are unaware of their deferred costs and associated fiscal risks. To use PPPs wisely governments should (1) develop and implement clear rules for their use; (2) identify, quantify, and disclose PPP risks and expected costs; and (3) reform budget and government accounting frameworks to capture all fiscal costs comprehensively.

The Role and Impact of Public-private Partnerships in Education

The Role and Impact of Public-private Partnerships in Education
Author: Harry Anthony Patrinos
Publisher: World Bank Publications
Total Pages: 116
Release: 2009-01-01
Genre: Education
ISBN: 0821379038

The book offers an overview of international examples, studies, and guidelines on how to create successful partnerships in education. PPPs can facilitate service delivery and lead to additional financing for the education sector as well as expanding equitable access and improving learning outcomes.

Regional Economic Outlook, April 2018, Sub-Saharan Africa

Regional Economic Outlook, April 2018, Sub-Saharan Africa
Author: International Monetary Fund. African Dept.
Publisher: International Monetary Fund
Total Pages: 137
Release: 2018-05-08
Genre: Business & Economics
ISBN: 1484352696

The region is seeing a modest growth uptick, but this is not uniform and the medium-term outlook remains subdued. Growth is projected to rise to 3.4 percent in 2018, from 2.8 percent in 2017, on the back of improved global growth, higher commodity prices, and continued strong public spending. About 3⁄4 of the countries in the region are predicted to experience faster growth. Beyond 2018, growth is expected to plateau below 4 percent, modestly above population growth, reflecting continued sluggishness in the oil-exporting countries and sustained growth in non-resource-intensive countries. A number of countries (Burundi, DRC, South Sudan, and parts of the Sahel) remain locked in internal conflict resulting in record levels of refugees and Internally Displaced Persons, with adverse spillovers to neighboring countries.