Identifying/Screening Projects for PPP Implementation: Afghanistan

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Afghanistan, like many developing countries, has been seeking ways to develop and improve infrastructure within the framework of limited fiscal capabilities. In recent years, the World Bank Group has been working with the Government of Afghanistan on increasing private participation in infrastructure. Public-private partnerships are increasingly seen as a means to harness private innovation and finance while the government maintains ultimate ownership and insurance of the public interest. Although procuring infrastructure projects through PPP methods may be more efficient and provide greater value for money, the pre-tender project development costs tend to be higher than those associated with traditional procurement. In an effort to reduce waste in resources, it is important to have an effective methodology and tools to aid in identifying and screening potential PPP projects before resources are utilized in a full feasibility analysis. In 2015, the World Bank Group assisted the Government of Afghanistan in legal and regulatory reform to foster the growth of PPP. One of the products of this effort was the development of the PPP Suitability and Prioritization tool. This tool seeks to streamline the PPP process and ensure that resources are only used for proposals with a greater chance of viability.