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Public-Private Partnerships in Fragile States: Reflection on the practice, challenges and opportunities in Somaliland










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    Public-Private Partnerships for Agribusines Development 2016
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    High levels of investments are required to unleash the potential of agriculture for sustainable development and poverty reduction in developing countries, but low public budgetary allocations to the sector have slowed growth. To address this problem, innovative partnerships that bring together business, government and civil society actors are increasingly being promoted as a mechanism for pooling much-needed financing while mitigating some of the risks of doing business in the agriculture sector . Commonly referred to as public–private partnerships (PPPs), these initiatives are expected to contribute to the pursuit of sustainable agricultural development that is inclusive of smallholder farmers. However, there remain many unanswered questions about the types of project that may suitably be governed by PPPs and about the partnerships’ effectiveness in delivering on these objectives. To improve understanding of the potential benefits and challenges of agri-PPPs, this publication provides an analysis of 70 PPP cases gathered from 15 developing countries, together with evidence from FAO’s support to the review of PPP policies for agriculture in Southeast Asia and Central America. Four common project types are identified: i) partnerships that aim to develop agricultural value chains; ii) partnerships for joint agricultural research, innovation and technology transfer; iii) partnerships for building and upgrading market infrastructure; and iv) partnerships for the delivery of busine ss development services to farmers and small and medium enterprises. The main lessons are synthesized, including the public skills and institutions required to enable more effective partnerships with the private sector, and the circumstances under which PPPs are likely to be the best modality for achieving sustainable development outcomes. The conclusion reached is that while there is evidence of positive contributions to sustainable agricultural development objectives, there remain several outs tanding issues associated with the impact of PPPs on poverty reduction and inclusion, which still need to be addressed. When deciding whether or not to engage in an agri-PPP, policy-makers should aim to ensure that the partnership will represent value for money and generate public benefits that exceed those that could be achieved through alternative modes of public procurement or through private investment alone.
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    Guide for the design and implementation of public–private partnerships for agribusiness development in Africa 2024
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    Unleashing the potential for inclusive agricultural growth and transformation in Africa requires coordinated and strategic public and private investment in the agriculture sector. Against a background of limited government resources and expertise, public–private partnerships are increasingly being promoted as a mechanism to pool resources, reduce risk, improve productivity and drive growth in the agriculture and food sectors. In line with this trend, many African countries have recently expressed an interest in further understanding the potential for public–private partnerships for agribusiness development (agri-PPPs) to deliver on these transformative goals. This publication aims to provide guidance to African policymakers and potential private sector investors on the core principles of designing and implementing agri-PPPs that will promote the transformation of Africa’s agriculture sector in an inclusive and sustainable way. This area of work is of particular interest to the African Union Commission (AUC) which has highlighted agri-PPPs as a key tool in the delivery of the results under the Comprehensive Africa Agricultural Development Programme (CAADP) and the Malabo Declaration on Accelerated Agricultural Growth for Shared Prosperity and Livelihoods.
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    Public–private partnership innovations for aquaculture development with a focus on sub-Saharan Africa 2024
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    This document indicates that sub-Saharan Africa presents investment opportunities for partnering with governments in infrastructure development, including road networks and energy supply systems, which can improve access to remote aquaculture sites and reduce production costs. Partnerships can also be established to build and/or maintain much-needed infrastructure, such as fish processing facilities, cold storage facilities and port facilities, as these facilities can improve efficiency and productivity in aquaculture. Moreover, there is a need to upgrade farming technologies through investing in more knowledge and capital-intensive production systems; PPPs can play an important role in this regard. Accessing international markets requires certification of fish and fishery products. This is yet another opportunity for PPPs to provide testing and certification services.Public–private partnerships hold great potential for enhancing the benefits of aquaculture in sub-Saharan Africa. However, the lack or weakness of regulations constitutes a bottleneck to the establishment of PPPs in aquaculture. Another significant obstacle is the existence of unclear guidelines, which can lead to uncertainties about compliance and hamper the success of partnerships. Additionally, the high costs of borrowing money, arising mainly from elevated interest rates associated with borrowing funds for PPP projects, pose a key challenge to PPPs. This issue is even more pronounced in the case of aquaculture projects because of limited knowledge among lenders and the inherent risks involved.

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