A study from the World Bank (WB) and the International Financial Corporation (IFC) on the unexploited potential of the Albanian economy revealed that Public-Private-Partnerships have not always been a good choice when trying to resolve Albania’s infrastructural problems.
“Meanwhile the government has tried to mobilize private capital through PPPs, the extensive use of them, in the context of a limited transparency and weak monitoring, has resulted in the accumulation of significant contingent liabilities”, reported the World Bank.
According to WB, the majority of existing PPPs are provided through unsolicited proposals and lack competition, impeding the participation of foreign investors.
75% of the PPPs signed from 2012-2018 were provided through unsolicited proposals.
In addition, WB held that existing PPPs are not monitored on a systematic basis and that information on their performance is scarce.
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