Describes the elements of a sound legal and institutional PPP framework—that is, the policy, processes, institutions, and rules that together define how PPPs will be identified and implemented, and that promote good governance of PPP programs
The "PPP framework" consists of the policies, procedures, institutions, and rules that together define how PPPs will be identified, assessed, selected, prioritized, budgeted for, procured, monitored, and accounted for; and who will be responsible for these tasks. Establishing a PPP framework communicates government's commitment to PPPs and it fosters efficiency in the governance of the PPP program—that is, it promotes accountability, transparency, and integrity. It ensures that selected projects are aligned with the government’s development strategy, generate the greatest economic returns for society as a whole, and do not expose the government to excessive fiscal risks. It also guarantees that consultation with stakeholders will be systematically undertaken and fair compensation awarded to those that are entitled to receive it. This generates greater private sector interest and public acceptance of PPP programs.
Updated: October 25, 2021