Unlocking Growth through Public-Private Partnerships: The Role of Institutions

Public-Private Partnerships (PPPs) have emerged as a key strategy for addressing infrastructure gaps and fostering economic growth, particularly in emerging economies. However, the effectiveness of PPP investments in driving economic growth is heavily contingent on the quality of institutions that govern these partnerships. This study explores the role of institutions in influencing both PPP investment outcomes and their subsequent impact on economic growth. By examining the interplay between institutional factors and PPP performance, the research demonstrates that robust institutions are critical for maximizing economic returns. Using cross-country data and empirical analysis, the study reveals that countries with stronger institutional frameworks experience higher levels of PPP success and greater contributions to economic growth. This research contributes to the broader discourse on the institutional determinants of economic growth and provides policymakers with evidence-based recommendations for enhancing the effectiveness of PPPs as a tool for sustainable development.