Budina, NinaPolackova Brixi, HanaIrwin, Timothy2012-05-312012-05-312007978-0-8213-7153-4https://hdl.handle.net/10986/6743Public-private partnerships (PPPs) operate at the boundary of the public and private sectors, being neither fully public nor fully private. PPPs are defined in this paper as privately financed infrastructure projects in which a private firm either: (i) sells its services to the government; or (ii) sells its services to third parties with significant fiscal support in the form of guarantees. Despite these common elements of PPPs across sectors, there are differences in the type of arrangements that are typical in each sector. This study focuses on whether and when using PPPs can create fiscal space for additional infrastructure investments in the EU8. In doing so, the paper will examine the fiscal risks of PPPs and the role of fiscal institutions in this regard, including how these affect the use and design of PPPs and thus the potential for creating fiscal space while promoting investment in infrastructure. Chapter 2 distinguishes the illusory from the real fiscal effects of PPPs. Chapter 3 relates the extent to which PPPs reduce fiscal costs to the nature of fiscal institutions. Chapter 4 explains how fiscal institutions can be improved to encourage fiscal prudence in the use and design of PPPs. Chapter 5 concludes.en-USCC BY 3.0 IGOACCOUNTABILITYACCOUNTABILITY STRUCTURESACCOUNTINGACCOUNTING PRINCIPLESACCOUNTING STANDARDACCOUNTING STANDARDSACCRUAL ACCOUNTINGADEQUATE DISCLOSUREARREARSASSET-BACKED SECURITIESAUDITINGAUDITSBALANCE SHEETBALANCE SHEETSBANKSBENEFICIARIESBENEFICIARYBORROWING COSTSBUDGET CONSTRAINTBUDGET CONSTRAINTSBUDGET DEFICITBUDGET DEFICITSBUDGETARY FRAMEWORKBUDGETINGCAPACITY BUILDINGCASH ACCOUNTINGCASH FLOWSCASH PAYMENTSCATASTROPHE BONDCATASTROPHE BONDSCENTRAL BANKCENTRAL GOVERNMENT CONTROLCENTRAL GOVERNMENTSCOMMODITY PRICECONTINGENT LIABILITIESCONTINGENT LIABILITYCONTRACT DESIGNSCOST OF CAPITALCOUPONCOUPON BONDCREDIT GUARANTEESCREDIT LINESCREDIT RATINGCREDIT RATING AGENCIESCREDITORSCURRENCYCURRENCY DEPRECIATIONDEBTDEBT CONTROLSDEBT FINANCINGDEBT INSTRUMENTSDEBT MANAGEMENTDEBT MANAGEMENT AGENCIESDEBTORSDEBTSDEFICITSDERIVATIVESDERIVATIVES MARKETDEVELOPMENT BANKDOMESTIC BONDDOMESTIC BOND MARKETDOMESTIC FINANCIAL MARKETSECONOMIC EFFICIENCYECONOMIC GROWTHEIBELECTRICITYENFORCEMENT MECHANISMEXCESS DEMANDEXCHANGE RATEEXPENDITUREEXPENDITURESEXTRABUDGETARY FUNDSFACE VALUEFINANCESFINANCIAL ASSETSFINANCIAL CRISISFINANCIAL INCENTIVESFINANCIAL INSTITUTIONSFINANCIAL INSTRUMENTSFINANCIAL MANAGEMENTFINANCIAL MARKETFINANCIAL MARKETSFINANCIAL REPORTINGFINANCIAL STATEMENTFINANCIAL STATEMENTSFINANCIAL SUPPORTFISCAL CONSTRAINTFISCAL DEFICITFISCAL DISCIPLINEFISCAL PERFORMANCEFISCAL POLICYFISCAL REFORMSFOREIGN EXCHANGEFUTURESGOVERNMENT ASSETSGOVERNMENT BORROWINGGOVERNMENT BUDGETGOVERNMENT BUDGETINGGOVERNMENT CAPACITYGOVERNMENT DEBTGOVERNMENT DEFICITGOVERNMENT EXPENDITUREGOVERNMENT FINANCEGOVERNMENT GUARANTEEGOVERNMENT GUARANTEESGOVERNMENT INVOLVEMENTGOVERNMENT REVENUESGOVERNMENT SUPPORTGUARANTEE FEEGUARANTEE FEESGUARANTEE FUNDSHARD BUDGET CONSTRAINTSIMPLICIT GUARANTEESINDEBTEDNESSINFRASTRUCTURE DEVELOPMENTINFRASTRUCTURE INVESTMENTINFRASTRUCTURE INVESTMENTSINSTITUTIONAL CAPACITYINSURANCEINTEREST PAYMENTSINTEREST RATEINTEREST RATESINTERGOVERNMENTAL FISCAL RELATIONSINTERNAL AUDITINTERNATIONAL BANKINTERNATIONAL FINANCIAL INSTITUTIONSINTERNATIONAL STANDARDSINVESTINGINVESTMENT BANKINVESTMENT CLIMATEINVESTMENT PROJECTSINVESTMENT REQUIREMENTSINVESTOR PROTECTIONISSUANCELAWSLEGAL ENVIRONMENTLEGAL FRAMEWORKLEGISLATIONLENDERSLIABILITYLIABILITY MANAGEMENTLICENSESLOANLOAN GUARANTEELOAN GUARANTEESLOCAL GOVERNMENTLOCAL GOVERNMENT BORROWINGLOCAL GOVERNMENT GUARANTEESLOCAL GOVERNMENTSLOCAL MARKETLONG-TERM OBLIGATIONSMACROECONOMIC RISKMARKET DEVELOPMENTMARKET ECONOMIESMARKET VALUEMINISTRIES OF FINANCEMONETARY FINANCINGMORAL HAZARDMUNICIPALITIESNATIONAL DEBTOPPORTUNITY COSTOPPORTUNITY COSTSPENALTIESPORTFOLIOPORTFOLIO MANAGEMENTPORTFOLIOSPRESENT VALUEPRICE RISKSPRIVATE DEBTPRIVATE FINANCEPRIVATE FINANCINGPRIVATE INVESTMENTPRIVATE INVESTMENTSPRIVATE INVESTORSPRIVATE PARTYPRIVATE SECTORPROVISIONSPUBLICPUBLIC DEBTPUBLIC ENTERPRISESPUBLIC EXPENDITUREPUBLIC FINANCEPUBLIC FINANCESPUBLIC INFRASTRUCTUREPUBLIC INVESTMENTPUBLIC SECTORPUBLIC SERVICESPUBLIC UTILITIESPUBLIC­PRIVATE PARTNERSHIPSREGULAR PAYMENTSREPAYMENTRESOURCE ALLOCATIONRETIREMENTRETURNRETURNSREVENUE GUARANTEESREVENUE MOBILIZATIONRISK EXPOSURERISK EXPOSURESRISK MANAGEMENTRISK TAKINGROADSSAVINGSSEWAGESHAREHOLDERSSHORT MATURITIESSOLVENCYSTATE GUARANTEESTATE GUARANTEESSUBSIDIARYSWAPSTAXTAX REVENUETAX REVENUESTELECOMMUNICATIONSTRANSPARENCYTRANSPORTTREASURYUSER CHARGESVALUATIONWATER SUPPLYWorld Bank10.1596/978-0-8213-7153-4