PPP scale-up of private participation in road assets

This case study describes a World Bank-supported model in Cambodia using performance-based contracts to increase private sector engagement in climate-resilient road rehabilitation, and evaluates the potential for scaling this Public-Private Partnership (PPP) structure within African markets.

• In Cambodia, the World Bank is utilizing IDA credit of USD 170 million for road rehabilitation focused on road safety and climate resilience. This is paired with support from the Public-Private Infrastructure Advisory Fund (PPIAF) to develop output and performance-based road contracts that transfer investment benefits and risks to the private sector, while the Global Facility for Disaster Reduction and Recovery (GFDRR) helps mitigate the effects of frequent floods.
• The successful application of this PPP structure in Africa requires countries to possess a significant pipeline of transport projects, a strong policy environment for prioritizing adaptation, sufficient climate risk analytics capacity, and a pool of untapped direct or institutional private investors.
• Based on IDA or IBRD adaptation financing in the transport sector from 2017-18, Morocco, Madagascar, and Lesotho are identified as potential early candidates for this structure in Africa. Morocco is highlighted as the strongest candidate due to its ease of doing business ranking (53rd) and higher domestic credit to the private sector as a percentage of GDP (87%) compared to Lesotho (122nd rank) and Madagascar (21% credit).

APA

Climate Policy Initiative (2021). PPP scale-up of private participation in road assets. https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/ppp-scale-up-of-private-participation-in-road-assets-2/

Chicago

Climate Policy Initiative. PPP scale-up of private participation in road assets. 2021. https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/ppp-scale-up-of-private-participation-in-road-assets-2/.

Wikipedia

{{cite report |author=Climate Policy Initiative |title=PPP scale-up of private participation in road assets |date=16 September 2021 |url=https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/ppp-scale-up-of-private-participation-in-road-assets-2/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{climatepolicyinitiative2021ppp, author = {{Climate Policy Initiative}}, title = {{PPP scale-up of private participation in road assets}}, institution = {Climate Policy Initiative}, year = {2021}, month = sep, url = {https://www.climatepolicyinitiative.org/gca-africa-adaptation-finance/case_studies/ppp-scale-up-of-private-participation-in-road-assets-2/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }