Good tips on BOTs in PPP projects
Bankable Construction Contracts in PPP Projects April 11, 2017 “Bankability” refers to the overall structure of a project being such that lenders are prepared to finance it. As lenders fund the vast majority of capital required to undertake projects (in some cases, up to 90 per cent of required capital), bankability is of critical importance during the project structuring phase.Interest in the public private partnership project model (PPP) has increased in recent years as governments look to alternative procurement methods to address their growing infrastructure gaps. The broad concept of PPP is becoming increasingly understood across the world; however, more work is required in understanding the key factors that make a PPP successful. One such factor is ensuring that the PPP project is a “bankable” project. In addition, PPP projects are unique to other more traditional procurement methods, as financing b...