Meta Review of Critical Risk Factors in PPP Projects of Emerging Nations in South Asia

Abstract

In recent years, Public Private Partnerships (PPPs) has been developed as one of the best approaches in many nations (like Australia, UK etc.) for delivering social infrastructure projects. PPPs are those risk sharing investment plans stipulated for public goods and services seen by governments as a mean to launch investment plans which would not have been imaginable within the existing public sector budget inside rational time. The multi objectives of PPP’s including to support infrastructure development, increasing construction and operational efficiencies, developed local economy, reducing costs, improving the service quality in embedding the private sector skills, knowledge expertise and funds have drawn growing interest from policy makers, industry practitioners and scholars. Whereas role of efficaciously implemented PPP projects seems to be very confined in emerging markets from South Asia. This paper offers pragmatic implications for investors in various types of infrastructure projects of emerging markets of south Asian countries like transportation, energy, communication, water supply, water sewage, education, health etc. This study uses SPSS for analysis of data through Run test, Kolmogorov Smirnov test & Mann Whitney-U test. This article identifies the critical risks and meta-analysis of risk factors criticality through questionnaire which was based on 20 years Meta review of literature on PPP projects, case studies, interviews from public/private sector, academicians and established ten most critical common risk factors in two countries (Bangladesh, Pakistan). The first most critical factor is the unsoundness of political government. The second important factor is the engagement level and consistent policies of governments regardless of change in political regime. The third critical factor is the financial attraction in project for investors. The fourth important critical factor is the obtainability of finance.