Public private partnerships/private finance initiatives for financing infrastructure in public tertiary institutions in Nigeria

Abstract

Purpose – The purpose of this paper is to investigate the factors that influence the adoption of private finance initiatives (PFIs) for infrastructure projects in tertiary institutions of learning. It also determines the relationship between the levels of awareness, years of experience and the identified factors. Design/methodology/approach – Data for this study were gathered from administration of questionnaires. The instruments were administered after validation on the stakeholders in the concerned departments. Data collected were analyzed using descriptive, cluster and correlation analyses. Findings – There is a high level of awareness and experience in public private partnerships (PPPs) among the respondents on the initiative. It is found that nature of project, risk involvement and the technical capabilities are the three most influential factors. There is correlation between the identified factors. There is also a significant relationship between the respondents’ years of experience in PPP and “technical capabilities factors.” Research limitations/implications – The study is limited to four selected public tertiary institutions in a single geo-political zone (six states) in southwestern Nigeria, out of four geo-political zones in Nigeria. Southwestern Nigeria is a major zone where tertiary institutions embrace PPP/PFIs initiative. Practical implications – Empirically, PPPs in the educational sector of a developing economy have been explored and consequently implied that there is a relationship among the factors that determine the adoption of PPP. Hence, findings would be useful for the policy makers and stakeholders on decision relating to infrastructure provision in tertiary institutions. Originality/value – This study is one of the few empirical studies in relation to educational sector in developing/emerging economies on the subject of PPP/PFIs for infrastructure projects.