An investigation into the factors that inhibit the uptake of public private partnerships by local contractors in the construction industry in Zimbabwe
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Public Private Partnerships is a public procurement method that involves contractual arrangements between the public and private sectors. In such arrangements the private sector supplies infrastructure assets and services that traditionally have been provided by the Government.PPPs are generally understood to result in the mobilization of funding and expertise that is considered key for economic development especially in times when Government has little or no resources at all. PPP’s were first introduced in Zimbabwe in 1998 to fund infrastructure and public services after Government’s commitments to the projects through the Public Service Investment Fund (PSIF) fell significantly as a result of Structural Adjustment Programmes. However, it was not until 2004 that the government made the first attempt to put a framework on PPP investment in the country .This was in the form of the PPP in Zimbabwe Policy and Guidelines of 2004. This sought to provide the parameters for the development of appropriate legal and regulatory framework to protect investors and consumers. To date Zimbabwe has only witnessed three successful PPP projects despite the fact that the model has been very successful elsewhere worldwide in countries such as the United Kingdom and closer home in South Africa. This clearly shows that there has been a very low uptake of the PPP projects by the local contractors hence the aim of this research to establish factors that inhibits the uptake of PPPs by local contractors. The objectives of this research include the need to identify the level of awareness of contractors towards PPPs, to determine barrier and motivation factors and contractors views on PPPs. The study was carried out by interviewing 15 contractors registered in Categories A and B of the Construction Industry Federation of Zimbabwe. The information that was collected was subjected to qualitative analysis. The study revealed that the absence of a proper regulatory framework, low level of awareness and lack of liquidity in the economy were the highest ranked barriers affecting the adoption of PPPs by local contractors in Zimbabwe. It is thus recommended that the Government seriously considers coming up with a regulatory framework, makes this method of procurement known to all contractors and also for the Government to create an atmosphere that is conducive to Foreign Direct Investment.
Additional Citation InformationRukweza, A. (2013). An investigation into the factors that inhibit the uptake of public private partnerships by local contractors in the construction industry in Zimbabwe (Unpublished Masters thesis). University of Zimbabwe.
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