An Assessment of the Efficacy of Public-Private Partnerships in Addressing the Infrastructure Financing Gap in Zimbabwe
DOI:
https://doi.org/10.51137/wrp.ijarbm.529Keywords:
Public-Private Partnership, Infrastructure, Zimbabwe, Private CapitalAbstract
Due to decades of international financial isolation, Zimbabwe has faced budgetary constraints to finance infrastructure. The level of financing required for new infrastructure as well as maintaining the existing one makes the case for Public Private Partnerships (PPPs) a key imperative for the country. In appreciating the huge financial burden, the government needs a helping hand and through adopting PPPs, the country may reap many benefits. Through a systematic literature review and qualitative approach where data were collected using semi-structured interviews from various stakeholders, the main motivation of the study was to investigate ways of leveraging private capital into infrastructure finance. The study noted that amidst budgetary constraints, PPPs are therefore considered a mechanism through which the public sector can effectively deliver infrastructure. The findings seemed to confirm the positive relationship between the use of PPPs as a financing model and the quality and quantity of infrastructure provided. The study noted that macroeconomic and political stability are important ingredients for the leveraging of private capital into infrastructure investment. The study therefore recommend that the government should enact robust legal and regulatory frameworks as well as working towards improving both the political and macroeconomic environment in the country.
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