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Deriving Macroeconomic Benefits from Public?Private Partnerships in Developing Asia

ADB 2018.10.10
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Public-private partnerships (PPPs) can be vehicles to involve the private sector in attaining national development goals. Either as an infrastructure project or a public finance tool, PPPs can potentially bring macroeconomic benefits. Public-private partnership (PPP) projects on infrastructure development in developing Asia started to increase rapidly from the late 1990s. This paper explores the effectiveness of structural and functional features of PPPs on infrastructure development in boosting economic growth. It also shows how PPPs can bring macroeconomic benefits in developing Asia. Policy recommendations for the public sector are geared towards enabling institutional improvements on PPPs, such as legal and regulatory frameworks that ensure efficient competitive arrangements and high regard for social welfare.

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