At the global level, the development of infrastructure, the enhancement of the efficiency of public services, and the expansion of investment flows are no longer the sole responsibility of the public sector.
Today, this mission is jointly undertaken by the public and private sectors— a framework commonly referred to as the Public–Private Partnership (PPP).
What Is PPP?
A Public–Private Partnership is a long-term, contract-based cooperation model between the public and private sectors, aimed at the planning, financing, construction, operation, and maintenance of public infrastructure or services, based on mutual commitments and shared responsibilities.
International institutions such as the World Bank, Asian Development Bank (ADB), European Bank for Reconstruction and Development (EBRD), Islamic Development Bank (IsDB), and APMG International have standardized the global application of PPPs by developing methodological frameworks, guidance documents, and professional certification programs in this field.
The Essence of PPP
PPP represents a long-term collaboration between the public and private sectors, within which:
- the public sector identifies societal needs related to infrastructure or public services;
- the private sector, depending on the project structure, participates in the design, financing, construction, and/or operation of the project;
- as a result, risks are allocated optimally between the parties, while benefits are shared on a mutually agreed basis.
Although the responsibility for securing initial project financing typically lies with the private sector, PPP projects may create implicit long-term fiscal liabilities for the public sector in later stages.
While PPP arrangements can reduce immediate public budget expenditures, they may also generate contingent or hidden debt obligations over the long term.
International Experience
In the United Kingdom, more than 700 PPP projects have been implemented under the Private Finance Initiative (PFI) framework.
In countries such as the United Arab Emirates, Saudi Arabia, and Türkiye, PPP models have become key instruments in sectors including energy, water, and transportation.
For Azerbaijan, this model holds significant potential, particularly in the areas of water and waste management, environmental protection and ecology, transportation and logistics, education, healthcare, food production, and agriculture.
Significance in the Post-Pandemic Period
In the post-pandemic era, governments face a dual challenge: constrained fiscal space and growing social demands.
Within this context, PPPs function not merely as financing mechanisms, but as governance tools that enable the efficient allocation of resources and the implementation of innovative solutions.
CP³P Certification Program
The CP³P (Certified PPP Professional) certification program, developed with the support of APMG International and Multilateral Development Banks, is now available in Azerbaijan through PMO.az.
As the first organization in the region, PMO.az has signed an official partnership agreement with APMG International, thereby introducing international PPP certification to Azerbaijan.
Through this collaboration:
- specialists from Azerbaijan and the wider region can participate in internationally recognized PPP training programs delivered in a local language and contextual framework;
- training courses are conducted in both Azerbaijani and English;
- participants obtain official international digital badges and certificates;
- new career pathways emerge for professionals across the public, private, and academic sectors.