Roles for the Private Sector, Governments and Multilateral Creditors in Latin American Private Infrastructure
9 Pages Posted: 14 Feb 2012 Last revised: 17 Jun 2022
Date Written: June 1, 1996
Abstract
There is growing consensus in the countries of Latin America and the Caribbean about the importance of the efficient management of infrastructure services, not only for economical but also for social reason. During the Eighties, most countries in the region were burdened by sizable fiscal deficits and triple-digit inflation, which crippled their capacity to investment and distorted the allocation of resources away from productive economic uses. Confronted with this situation, many governments saw private participation in infrastructure as a means to increase efficiency in the provision of services and support fundamental fiscal reform with privatization receipts and future tax income from privately run companies.
Keywords: Infrastructure, Private Sector, Multilateral organization, public private partnerships
JEL Classification: H4, H54
Suggested Citation: Suggested Citation