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The World Bank has established a clear link between infrastructure and development. The various stimulus packages adopted by a large number of governments also stressed the need to promote infrastructure and associated services in order to speed a return to economic growth. The PPP coordination method was often selected as a way to achieve this objective.
Why use PPPs?
PPPs are used not only to get around government and local authority budget restrictions but, above all, to achieve greater efficiency:
- compliance with deadlines
- better long-term investment programmes
- innovative strategies
For this reason, many countries avail themselves of PPPs. The two countries that make the most use of them are:
- the United Kingdom,
- France, with its longstanding PPP tradition.
- More recently, Germany, Spain and Greece have moved to introduce PPPs, as well as the countries of Central and Eastern Europe, for which PPPs are an efficient and effective way to meet infrastructure investment needs.
Beyond Europe, a large number of countries in Latin America (particularly Chile) and Central and Southern Asia (especially Cambodia and India) have been experimenting with various forms of PPPs for many years.
The sectors most typically involved are:
- road transport
- urban public transport
- railway transport
- urban infrastructure and services (street lighting)
- culture and sports (museums, cultural and sports arenas)
- water treatment and distribution
- waste collection and treatment
- defence, correctional system