International Handbook on Public–Private Partnerships
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International Handbook on Public–Private Partnerships

Edited by Graeme A. Hodge, Carsten Greve and Anthony E. Boardman

In this timely Handbook, leading scholars from around the world explore the challenges presented by infrastructure PPPs, and contemplate what lies ahead as governments balance the need to provide innovative new infrastructure against the requirement for good public governance. This Handbook builds on a range of exciting theoretical lenses that span several disciplinary boundaries. It presents innovative insights and informed perspectives from an international base of empirical evidence.
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Chapter 25: Reviewing Public–Private Partnership Performance in Developing Economies

Argentino Pessoa


Argentino Pessoa Introduction This chapter aims to appraise public–private partnership (PPP) performance and to anticipate some of the crucial PPP-related issues in developing economies. This is a very difficult task not only because there are large controversies about what PPPs are – and what PPPs must be – but also because developing economies are a heterogeneous universe without a unique evolution pattern. Although this is not the right place to take in hand either debate about the PPP concept or the determinants behind the current wave of private participation in public services, it is true that the way this wave emerged has conditioned PPP performance. Therefore, in the next section we deal with the sources of the contemporary wave of PPPs in developing economies and with the advantages that they allegedly have as instruments that can contribute to more quickly solving the development gap. However, the required evaluation must be context specific. There is abundant literature about evaluation of PPPs (mainly as value for money – VfM), but this is of little help for our purpose, not only because it refers to developed countries1 and is not conclusive (Hodge and Greve, 2009), but because our purpose is to evaluate PPPs in the context of developing countries, and these have specific characteristics that can make a significant difference (Pessoa, 2006). So, in the third section we shall deal with both the universe of developing economies and with the most frequent justification for the reform towards a higher participation of the private sector in...

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