Public Private Partnerships (PPP) in the Developing World: Mitigating Financiers' Risks

Journal article


Owolabi, HA, Ebohon, O, Oyedele, L, Alaka, H and Ajayi, S (2018). Public Private Partnerships (PPP) in the Developing World: Mitigating Financiers' Risks. World Journal of Science, Technology and Sustainable Development. https://doi.org/10.1108/WJSTSD-05-2018-0043
AuthorsOwolabi, HA, Ebohon, O, Oyedele, L, Alaka, H and Ajayi, S
Abstract

A major challenge for foreign lenders in financing public private partnerships (PPP) infrastructure projects in an emerging market (EM) is the bankability of country-related risks. Despite existing studies on country risks in international project financing, perspectives of foreign lenders on the bankability of country-specific risks in an EM is yet to be explored. Hence, using a mixed methodology approach, three private finance initiatives/PPP projects in Sub Saharan Africa (Nigeria) were used to investigate political risk, sponsor, concession and legal risks in PPP loan applications. The paper aims to discuss these issues. The study adopted mixed methodological approach comprising focus group discussions and analysis of loan documents obtained from foreign project lenders, in addition to the questionnaire survey distributed to local and international project financiers with experiences in PPPs within Nigeria. Results identified seven topmost bankability criteria for evaluating country-related risks (political risk, sponsor, concession and legal risks) in EM PPPs. In addition, a “Risk and Bankability Framework Model” was developed from the study presenting critical parameters for gaining foreign funding approval for EM’s PPP loan applications. Since the study only explored bankability of PPPs in Sub Saharan Africa with the exclusion of other geographical regions, the proposed framework model should be taken in the context of EMs as a mind-map for foreign lenders and local private investors seeking to finance PPPs in an EM. Results from the study represent critical parameters for winning foreign loan approval for PPP infrastructure projects within an EM context.

Year2018
JournalWorld Journal of Science, Technology and Sustainable Development
PublisherEmerald
ISSN2042-5945
Digital Object Identifier (DOI)https://doi.org/10.1108/WJSTSD-05-2018-0043
Publication dates
Print01 Nov 2018
Publication process dates
Deposited23 Oct 2018
Accepted01 May 2018
Accepted author manuscript
License
File Access Level
Open
Permalink -

https://openresearch.lsbu.ac.uk/item/868y2

Download files


Accepted author manuscript
Ebohon Publication PDF_Proof 2018.pdf
License: CC BY 4.0
File access level: Open

  • 53
    total views
  • 205
    total downloads
  • 2
    views this month
  • 4
    downloads this month

Export as

Related outputs

Immersive technology-driven investigations on influence factors of cognitive load incurred in construction site hazard recognition, analysis and decision making
Han, Y., Diao Y., Yin Z., Jin, R., Kangwa, J. and Ebohon, O. (2021). Immersive technology-driven investigations on influence factors of cognitive load incurred in construction site hazard recognition, analysis and decision making. Advanced Engineering Informatics. 48, p. 101298. https://doi.org/10.1016/j.aei.2021.101298
Spatio-temporal analysis of drought and return periods over the East African region using Standardized Precipitation Index from 1920 to 2016
Kalisa, W, Zhang, J, Igbawua, T, Ujoh, F, Ebohon, OJ, Namugize, JN and Yao, F (2020). Spatio-temporal analysis of drought and return periods over the East African region using Standardized Precipitation Index from 1920 to 2016. Agricultural Water Management. 237, pp. 106195-106195. https://doi.org/10.1016/j.agwat.2020.106195
Effect of thermal comfort on occupant productivity in office buildings: Response surface analysis
Kaushik, A, Arif, M, Tumula, P and Ebohon, OJ (2020). Effect of thermal comfort on occupant productivity in office buildings: Response surface analysis. Building and Environment. 180, pp. 107021-107021. https://doi.org/10.1016/j.buildenv.2020.107021
Developing a methodological framework of adopting digital twin for deconstruction planning
Adamu, Z., Jin, R., Ebohon, O., Madanayake, U. and Panuwatwanich, K. (2020). Developing a methodological framework of adopting digital twin for deconstruction planning. International Conference on "Digitalisation Construction for Sustainable Development: Transforming though Innovation". National University of Civil Engineering, Hanoi, Vietnam 25 - 25 Nov 2020
Overcoming the limitations of the green pyramid rating system in the Egyptian construction industry: a critical analysis
Daoud, A O, Othman, A A E, Ebohon, O J and Bayyati, A (2020). Overcoming the limitations of the green pyramid rating system in the Egyptian construction industry: a critical analysis. Architectural Engineering and Design Management. https://doi.org/10.1080/17452007.2020.1802218
Regeneration of Sub-Saharan Africa’s Open Market Places: A Case for Guileless Stakeholder Participation
Adinyira, E., Agyekum, K., Baiden, B.K., Ebohon, O. and Ampratwum, G. (2020). Regeneration of Sub-Saharan Africa’s Open Market Places: A Case for Guileless Stakeholder Participation. Construction Economics and Building. 20 (2). https://doi.org/10.5130/AJCEB.v20i2.6601
Examining the Relationships between Young Adults’ Housing Tenure, Elements of Perceived Job Security and Social Capital in Britain
Aguda, O., Ebohon, O. and Leishman, C. (2019). Examining the Relationships between Young Adults’ Housing Tenure, Elements of Perceived Job Security and Social Capital in Britain. European Real Estate Society (ERES). Cergy-Pontoise Cedex, France 03 - 06 Jul 2019
Perceptibility of barriers and threats to successful and sustainable restoration of Heritage Buildings. A perspective of UK’s heritage practitioners
Kangwa, J., Ebohon, O., Haupt, T. and Olubodun, F. (2019). Perceptibility of barriers and threats to successful and sustainable restoration of Heritage Buildings. A perspective of UK’s heritage practitioners. The 13th Built Environment Conference. Durban, South Africa 02 - 03 Sep 2019 Association of Schools of Construction of Southern Africa. https://doi.org/978-0-6399855-1-0
Innovative environmentally sustainable concrete: Explaining the low uptake in UK construction activities
Ebohon, O., Kangwa, J. and Perinpanathan, S. (2019). Innovative environmentally sustainable concrete: Explaining the low uptake in UK construction activities. The 13th Built Environment Conference. Durban, South Africa 02 - 03 Sep 2019 Association of Schools of Construction of Southern Africa.
A Geospatial Approach to Sustainable Urban Planning: Lessons for Morogoro Municipal Council, Tanzania
Sumari, N.S., Xu, G., Ujoh, F., Korah, P.I., Ebohon, O. and Lyimo, N.N. (2019). A Geospatial Approach to Sustainable Urban Planning: Lessons for Morogoro Municipal Council, Tanzania. Sustainability. 11 (22), p. 6508. https://doi.org/10.3390/su11226508
Exploiting automated technologies for reduction of rework in construction housing supply chain
Shahparvari, M., Robinson, H., Fong, D. and Ebohon, O. (2019). Exploiting automated technologies for reduction of rework in construction housing supply chain. Creative Construction Conference 2019. Budapest, Hungary 29 Jun - 02 Jul 2019 https://doi.org/10.3311/CCC2019-008
Disaster 'soft' and 'hard' laws: building resilience for displaced people in the Middle East and North Africa (mena) region.
Eltinay, N, Egbu, C, Ofori, G and Ebohon, OJ (2017). Disaster 'soft' and 'hard' laws: building resilience for displaced people in the Middle East and North Africa (mena) region. COBRA 2017. UCL: London