What is ADB's approach to public-private partnerships (PPPs)?

ADB's approach to public-private partnerships (PPPs) focuses on leveraging private investment in public projects. This strategy is designed to harness the efficiency, innovation, and resources of the private sector to improve public service delivery and infrastructure development. By engaging private entities, ADB aims to ensure that essential services and infrastructure are developed more effectively and efficiently, addressing the financing gaps that many governments face in funding critical projects.

The partnership model promotes collaboration between public institutions and private investors, ensuring that projects are not only well-funded but also managed and operated in a manner that maximizes benefits for the public. This approach encompasses various sectors, including infrastructure, health, and education, where private expertise can lead to better outcomes.

In contrast, avoiding private sector involvement, exploiting public resources for profit, or merely substituting government funding do not align with the goals of effective PPPs as per ADB's objectives. The emphasis on leveraging private investment highlights a commitment to sustainable development and shared responsibility, aiming for long-term societal benefits rather than short-term gains.