Jensen, OliviaBlanc-Brude, Frédéric2012-06-192012-06-192006-06https://hdl.handle.net/10986/8432This paper uses a new dataset, "WATSAN," of private sector participation (PSP) projects for water and sanitation in developing countries to examine the determinants of the number of projects signed for each country between 1990 and 2004. The new dataset improves on existing sources, in particular in its coverage of projects with local investors, and provides adequate data for cross-country regression analysis. The authors use a negative binomial regression model to investigate the factors influencing the number of PSP projects in a sample of 60 developing countries with 460 PSP projects. The regression results provide support for the hypotheses that PSP is greater in larger markets where the ability to pay is higher and where governments are fiscally constrained. The authors test several indicators of institutional quality and find that these are generally significant in determining the number of projects signed for each country. Measures of the protection of property rights and the quality of the bureaucracy emerge as the most important institutions that encourage PSP. Rule of law and the control of corruption are significant, albeit at a lower level, while the quality of contract law and political stability are not robustly significant.CC BY 3.0 IGOABILITY-TO-PAYBOOTBOTCAP REGULATIONCAPITAL EXPENDITURECAPITAL EXPENDITURESCAPITAL INVESTMENTCAPITAL INVESTMENTSCOMPANYCOMPETITIVE BIDDINGCONCESSION CONTRACTSCONTRACT AWARDCONTRACT ENFORCEABILITYCONTRACT ENFORCEMENTCORPORATIONSCOST OF EQUITYDROUGHTECONOMIC REGULATOREMPIRICAL ANALYSISEXPROPRIATIONFINANCIAL VIABILITYFIRMSFOREIGN COMPANIESFOREIGN INVESTMENTFOREIGN INVESTORSGOVERNANCE INDICATORSINCOMEINDEPENDENT REGULATORYINFRASTRUCTURE PROJECTSINFRASTRUCTURE SECTORSINTERNATIONAL INVESTORSINVESTMENT COMMITMENTSINVESTMENT PROJECTSINVESTMENT REQUIREMENTSLATIN AMERICANLAW FIRMSLOCAL INVESTORSMAINTENANCE OF ASSETSMUNICIPAL LEVELMUNICIPALITIESPERFORMANCE DATAPORTFOLIOPOWER SECTORSPRIVATE COMPANIESPRIVATE FIRMPRIVATE FIRMSPRIVATE INFRASTRUCTUREPRIVATE INFRASTRUCTURE INVESTMENTPRIVATE INVESTMENTPRIVATE INVESTMENTSPRIVATE INVESTORSPRIVATE PARTICIPATIONPRIVATE PARTNERPRIVATE PARTNERSHIPSPRIVATE SECTORPRIVATE SECTOR INVESTMENTPRIVATE SECTOR INVESTMENT IN INFRASTRUCTUREPRIVATE SECTOR INVOLVEMENTPRIVATE SECTOR PARTICIPATIONPRIVATE SECTOR PARTICIPATION IN WATERPRIVATE WATERPRIVATE WATER COMPANIESPRIVATIZATIONPROPERTY RIGHTSPROVISION OF WATERPUBLIC INVESTMENTPUBLIC OWNERSHIPPUBLIC UTILITYPUBLIC WATERPUBLIC WATER UTILITIESPUBLIC-PRIVATE PARTNERSHIPSREGULATORSREGULATORY AGENCIESREGULATORY AGENCYREGULATORY ARRANGEMENTSREGULATORY FRAMEWORKREGULATORY REFORMREGULATORY REGIMEREGULATORY RULESREGULATORY VARIABLESROESANITATIONSANITATION SECTORSANITATION SERVICESSERVICE DELIVERYSERVICE IMPROVEMENTSSERVICE PROVISIONSERVICE QUALITYSEWERAGE SERVICESSTATE ENTERPRISESSTATEMENTSSUPPLIERSTAX REVENUESUTILITIESUTILITY SERVICEWATER COMPANIESWATER COVERAGEWATER MARKETWATER OPERATORSWATER PROJECTSWATER SECTORWATER SECTOR REFORMWATER SERVICEWATER SERVICE DELIVERYWATER SERVICESWATER SUPPLYWATER UTILITIESWATER UTILITYWorld Bank10.1596/1813-9450-3937