Risk Allocation within Public-Private Partnership in the Republic of Moldova Framework

Abstract

A significant feature of infrastructure projects performed under public-private partnership (PPP) contracts in the Republic of Moldova is manifested by their multilateral state support. The state controls a large number of parameters that influence the successful implementation of the infrastructure projects, so potential investors decide to participate in the project only if they are sure that the government will support and compensate their investment through proper risk management. The confidence of the PPP partners and the effectiveness of their interaction reduce the risks and their consequences. The purpose of this article is to identify, classify and distribute risks in public-private partnership projects since these kinds of affairs has become increasingly popular in recent years. The determination of the best evidence approaches and risk assessment of the implementation of these projects is of particular relevance in each investment project.

Keywords

• public private-partnership
• contract
• concession
• risks
• projects