PUBLIC-PRIVATE PARTNERSHIP AS AN ALTERNATIVE SOURCE FOR FINANCING PUBLIC NEEDS: EXPERIENCES FROM SOUTH EASTERN EUROPEAN COUNTRIES

Abstract

Motivated to overcome the negative impact from slow economic growth, high budget deficits and fiscal
constraints, countries today are gradually leaving behind the traditional role of the government as a
primary public service provider. Moreover, the growing pressure on public finances has prompted the
need for new resources for financing the public expenditures, so that better value for money is obtained.
The concept of public-private partnership is part of this trend and it is expanding rapidly as an alternative
provider of public goods and services.
This article analyzes the Public-Private Partnership phenomenon and focuses on its relevance as regard
the countries from the region of South Eastern Europe. In particular, this article is aimed to (1) analyze
the concept of public-private partnership; (2) compare experiences from the following SEE countries:
Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Macedonia, Moldova, Romania, Serbia and
Montenegro; (3) synthetize the findings and offer new perspectives on the advantages of public-private
partnership. The key question is whether this concept during past few years has enabled these countries to
improve the quality, cost-effectiveness and timely provision of public services. The paper is focused on a
qualitative research through in-depth review of the legal provisions, and through theoretical knowledge
and quantitative empirical data will sublimate conclusions and give few policy recommendations.