THE ARAB MONETARY FUND ISSUES A STUDY ON FRAMEWORKS FOR PARTNERSHIP BETWEEN THE PUBLIC AND PRIVATE SECTORS IN ARAB COUNTRIES

by **claud39** on Wed Dec 16, 2020 9:51 am

THE ARAB MONETARY FUND ISSUES A STUDY ON FRAMEWORKS FOR PARTNERSHIP BETWEEN THE PUBLIC AND PRIVATE SECTORS IN ARAB COUNTRIES
2020-12-15

The Arab Monetary Fund has issued a study entitled "Frameworks for Partnership between the Public and Private Sectors in the Arab Countries". The study comes in light of the Fund’s interest in monitoring economic developments in the Arab countries, and providing advice and technical assistance in priority areas, including the public finance sector.

The importance of the study comes in light of the Arab countries ’efforts to enhance and diversify financing opportunities and contain challenges facing public budgets, by making use of the financial, administrative and technical capabilities of the private sector in developing and expanding infrastructure assets and public services in many sectors such as energy, water, sanitation, and communications. Transport, and others in response to the increasing demand for public services, within the framework of public-private partnership programs.

The study is based on the results of a questionnaire prepared by the Arab Monetary Fund to monitor partnership frameworks between the public and private sectors in the Arab countries, including legal, institutional and regulatory frameworks, financial support mechanisms, and managing the implications of partnership on public finances, in addition to drawing lessons learned and challenges.

The study included that the transport, water, energy and health sectors had the largest share of partnership projects in the Arab countries. The methods and formulas used in concluding partnership contracts varied, with more emphasis on construction, operation, transfer contracts and their derivatives, management contracts, and to a lesser extent service, lease and franchising contracts. It is estimated that the value of public-private partnership projects under implementation during 2019 is around $ 224 billion in the Middle East and North Africa region.

The study indicated that there is an increasing interest on the part of Arab countries to develop the legal system in terms of enacting laws for public-private partnerships, and developing policies and guidelines that clarify the process of implementing partnership projects. Arab countries also continue their efforts to complete the building of institutional and organizational frameworks that support the implementation of partnership programs between the public and private sectors, through the formation of high-level ministerial councils or committees. In addition, the necessary mechanisms and structures were developed to develop strategic plans and policies to implement partnership projects, build human capacities, develop appropriate mechanisms and tools for technical and financial support, and monitor and manage risks and repercussions on the financial situation.

In addition to the above, the study indicated that there are challenges in different aspects and to varying degrees that are still facing Arab countries in the field of building and developing appropriate frameworks for the implementation of the partnership between the public and private sectors, whether at the level of legislation and regulatory frameworks, or at the level of support for financing capabilities, or capacity building. Technical and administrative.

The full version of the study is available at this link

https://www.amf.org.ae/ar/study/frameworks-partnership-public-private-sectors-arab-countries

https://www.amf.org.ae/ar/content/%D8%B5%D9%86%D8%AF%D9%88%D9%82-%D8%A7%D9%84%D9%86%D9%82%D8%AF-%D8%A7%D9%84%D8%B9%D8%B1%D8%A8%D9%8A-%D9%8A%D8%B5%D8%AF%D8%B1-%D8%AF%D8%B1%D8%A7%D8%B3%D8%A9-%D8%AD%D9%88%D9%84-%D8%A3%D8%B7%D8%B1-%D8%A7%D9%84%D8%B4%D8%B1%D8%A7%D9%83%D8%A9-%D8%A8%D9%8A%D9%86-%D8%A7%D9%84%D9%82%D8%B7%D8%A7%D8%B9%D9%8A%D9%86-%D8%A7%D9%84%D8%B9%D8%A7%D9%85-%D9%88%D8%A7%D9%84%D8%AE%D8%A7%D8%B5-%D9%81%D9%8A-%D8%A7%D9%84%D8%AF%D9%88%D9%84-%D8%A7%D9%84%D8%B9%D8%B1%D8%A8%D9%8A%D8%A9