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Managing the Fiscal Implications of Public-Private Partnerships in a Sustainable and Resilient Manner: A Compendium of Good Practices and Lessons Learned from the COVID-19 Pandemic

Public-private partnerships (PPPs) can sometimes be perceived as a means for delivering infrastructure for free. A more nuanced but still inexact view is that they are a mechanism to overcome fiscal constraints. Some argue, perhaps rightly, that often governments enter PPP contracts without fully understanding their fiscal implications. These misconceptions lead to several challenges. There is evidence that fiscal sustainability is often overlooked or ignored by countries with PPP programs, with long-term fiscal implications the governments did not understand or manage well.

COVID-19 & infrastructure: Why governments must act to protect projects

Economic disruptions are cascading globally as a result of COVID-19. For infrastructure investors, the sudden evaporation of demand is colliding with cost increases, or at least cost uncertainty. Once these economic realities become balance sheet realities, a “tidal wave” will come into view that risks overwhelming the legal system with contract disputes.

This blog is managed by the Infrastructure Finance, PPPs & Guarantees Group of the World Bank. Learn more here.

Covid-19 and PPPs

Covid-19 and PPPs Emailer: Vaccine vials and mask

'The COVID-19 pandemic presents an unforeseen major shock to the global economy and has affected infrastructure projects, and in particular PPPs, at all stages and in all sectors with implications for governments, providers of infrastructure assets and services, their financiers, and users.

EBRD Covid-19 Response: Financial Restructuring and Insolvency Discussion Paper

The Covid-19 crisis has had a major impact on economic activity around the globe. Unlike the 2008-9 financial crisis, which originated in excessive bank lending, countries are dealing with a global health pandemic that has caused a crisis in the economy and is expected to spread to banks and the financial markets. Economies in the regions covered by the European Bank for Reconstruction and Development (EBRD)2 have experienced numerous political and economic crises before, but there is widespread agreement that the scale of the Covid-19 crisis and its global effects are unique.

How the World Bank is looking at COVID-19 and public-private partnerships, right now and post-crisis

Our role is very clear: we’re here to help countries optimize private sector infrastructure solutions that are sustainable and resilient as well as informed by best practices, good governance, transparency, and fiscal sustainability.

This blog is managed by the Infrastructure Finance, PPPs & Guarantees Group of the World Bank. Learn more here.

COVID-19 and infrastructure: A very tricky opportunity

This blog is managed by the Infrastructure Finance, PPPs & Guarantees Group of the World Bank. Learn more here.

Disclaimer: The content of this blog does not necessarily reflect the views of the World Bank Group, its Board of Executive Directors, staff or the governments it represents. The World Bank Group does not guarantee the accuracy of the data, findings, or analysis in this post.

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