Practice Advice on Strategy and Structure
Description: The OECD advises that, in establishing public-private partnerships, governments should use the budgetary process transparently to minimise fiscal risks and ensure the integrity of the procurement process.
- In line with the government’s fiscal policy, the Central Budget Authority should ensure that the project is affordable and the overall investment envelope is sustainable.
- The project should be treated transparently in the budget process. The budget documentation should disclose all costs and contingent liabilities. Special care should be taken to ensure that budget transparency of Public-Private Partnerships covers the whole public sector.
- Government should guard against waste and corruption by ensuring the integrity of the procurement process. The necessary procurement skills and powers should be made available to the relevant authorities.
Source: OECD (no date). "OECD Principles for Public Governance of Public-Private Partnerships" at http://www.oecd.org/governance/50254119.pdf (accessed 19 December, 2012).
Page Created By: Matthew Seddon on 19 December 2012. Updated by Ian Clark on 2 January 2013. The content presented on this page is drawn directly from the source(s) cited above, and consists of direct quotations or close paraphrases. This material does not necessarily reflect the official view of the publishing organization.