The State of Public-Private Partnerships in Times of Global Economic Disruption
DOI:
https://doi.org/10.33423/jmpp.v25i2.7184Keywords:
management policy, emerging economies, global crisis, macroeconomic environment, public private partnerships (PPPs), globalization, critical success factors, economic disruptionAbstract
Growth in large private business enterprises in the 20th century established an environment that enabled a competitive relationship through Public-Private Partnerships (PPP) with the public sector, which historically suffered from inefficiencies and an over-reliance on projects and services, especially in emerging economies. PPPs can positively impact public safety, quality of life, new economic opportunities, poverty reduction, and benefit from long-term private capital and outside expertise. However, PPP investment is sensitive to critical factors such as: the macroeconomic environment, institutional and regulatory conditions, market size, rule of law, and enforceable contracts, among others. Thus, managing PPP projects is a very complex task, due to its multidisciplinary characteristics and the involvement of multiple stakeholders. In times of global economic disruption, this task becomes even more challenging. This study presents threats and opportunities for the execution of PPPs in times of global crises and their relationship with globalization trends.
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