Budget cuts, budgets deficits, budget overruns, and limited budgets constitute the reality of today’s public sector. This is not only a problem of scarce resources for new investments but the public sector is also struggling with maintaining assets and services at current levels. Therefore,...

Following the growth, employment and redistribution(GEAR) programme in June 1996, South Africa saw anacceleration in the privatisation of service delivery. Thispaper reports on a study of two longer-termpublic–private partnerships (PPPs) in the water andsanitation sector undertaken in...

Through several conduits, sound institutional quality is pivotal for economic development, as there is evidence that stable democratic institutions, rule of law and sound governance structures in the administration are highly conducive to promote growth. Therefore, a high institutional quality...

High-quality infrastructure will boost regional economic development and reduce poverty and income inequality. The spill-over effects created by this high-quality infrastructure will be seen in the form of an increase in gross domestic product and tax revenue in the region. These positive...

We study the effects of granting an exit option that enables the private party to early terminate a PPP project if it turns out to be financially loss-making. In a continuous-time setting with hidden information about operating profits, we show that an exit option, acting as a risk-sharing...

Social infrastructure has endured a long period of neglect in most developed and emerging countries, with chronic underinvestment exposed by the coronavirus crisis 2020. The financial crisis 2007/08 led to a slow revival of economic infrastructure policies, and a growing involvement of...

The paper compares provision of public infrastructure via public-private partnerships (PPPs) with provision under government management. Due to soft budget constraints of government management, PPPs exert more effort and therefore have a cost advantage in building infrastructure. At the same...

The paper compares provision of public infrastructure via public-private partnerships (PPPs) with provision under government management. Due to soft budget constraints of government management, PPPs exert more effort and therefore have a cost advantage in building infrastructure. At the same...

This paper investigates the impact of Social Discount Rate (SDR) choice on intergenerational equity issues caused by Public-Private Partnerships (PPPs) projects. Indeed, more PPPs mean more debt being accumulated for future generations leading to a fiscal deficit crisis. The paper draws on how...