The 2030 Agenda for Sustainable Development puts infrastructure development at its core with at least 12 out of the 17 Sustainable Development Goals (SDGs) having a direct infrastructure link. To achieve these development objectives, governments are looking for appropriate financing strategies and involving the private sector is often considered by policy makers as a promising option to overcome resource constraints and improve public service delivery.
Recognizing this potential, countries have included “promoting effective public-private partnerships” as one of the means of implementation for sustainable development (SDG-17). Furthermore the Addis Ababa Action Agenda (AAAA) on Financing for Development confirmed “that both public and private investments have key roles to play in infrastructure financing, including through … mechanisms such as public-private partnerships”.
Against this background, this policy brief outlines key infrastructure challenges in the Asia-Pacific region before exploring the benefits and limitation of PPP arrangements as well as the policy actions that are required for making the most of this mechanism.