SADC Resource Mobilisation Strategy
Public-Private Partnerships (PPPs) are effective financing mechanisms for both
national and regional development activities, especially infrastructure projects. In
view of the high demand for public infrastructure in SADC countries, and the limited
public resources available to meet the gap, it is necessary for SADC Member
States to develop innovative mechanisms to mobilize private sector funding to
support the development and management of infrastructure projects.
The appropriate design and packaging of infrastructure projects with private
participation based on adequate public sector skills, an enabling policy and
regulatory environment and a harmonized region-wide policy will ensure the
availability of private sector funding to support such projects.
In this respect, the availability of development finance over the medium-term
period is considered an important ingredient in ensuring:
· infrastructure delivery through PPP initiatives,
· a pipeline of bankable projects through effective financial structuring,
preparation and packaging of projects;
· promotion of private participation in development projects by risk
mitigation through PPP.
The RISDP outlines important targets for PPPs, such as institutional strengthening
through the creation of PPP Units, capacity building, and the development of
appropriate PPP policies, strategies and guidelines in Member States. In line with
the regional integration goal, the ultimate objective is the harmonization of PPP
regulatory frameworks at the regional level.
Although PPPs are mainly associated with economic infrastructure, particularly
in the areas of roads, bridges, rail, energy and information and communications
technology, the Region should also explore the possibility of extending the PPP
approach to social sectors such as health and education, where the need for
resources and management are equally high.
PPPs policies and strategies allow a full range of PPP options that can be carefully
studied in the light of already existing work within the region. It is recommended
that the Region explores the optimal choices in order to determine the way forward
and to draw maximum benefits of PPPs arrangement.
In this respect, establishment of a SADC PPP Network would present a platform
for information and experience sharing and for consensus building on key issues
such as PPP models and policy and regulatory frameworks for adoption in line
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