Public Private Partnerships in the Caribbean : Bridging the Financing Gap
Caribbean countries are committed to achieving significant economic and social development to raise the living standards and welfare of citizens. To achieve rapid development, to support most needed sustainable high growth rates and poverty reducti...
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| Format: | Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2013/06/17886508/public-private-partnerships-caribbean-bridging-financing-gap http://hdl.handle.net/10986/16618 |
| Summary: | Caribbean countries are committed to
achieving significant economic and social development to
raise the living standards and welfare of citizens. To
achieve rapid development, to support most needed
sustainable high growth rates and poverty reduction, it is
necessary to make substantial and immediate investments in
economic and social infrastructure. Efficient, cost
competitive facilities and services in transport and
communications, energy, water, sanitation, health and
education are essential to drive and support this
development effort and to reduce poverty. Yet, fiscal space,
the resources available to the public sector for needed
infrastructure investments are very limited. Many Caribbean
countries have high levels of public debt as a percentage of
gross domestic product (GDP) and high fiscal deficits. Under
traditional public procurement, government obtains a public
infrastructure service such as electricity, water supply,
schools and hospitals, by engaging a contractor to construct
a facility which the Government then owns, manages and
operates. This form of public procurement will continue, but
as a result of the limited fiscal space, public
infrastructure services development will also be sought
through public private partnership (PPP) arrangements which
will mean a broader role for the private sector in providing
infrastructure facilities and services. The Governments of
most Caribbean countries appear fully committed to promoting
economic activities and enhancing the well-being of its
citizens through more active participation of the private
sector in improving the infrastructure of the nation. Those
Governments believe that improving infrastructure through
PPP arrangements will harness the development of the private
sector to contribute to the growth of GDP and poverty
reduction over the life of their respective strategic
development plan and current administrations. |
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