Risk Management in Transport PPP Projects
In the Islamic Countries
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In line with this approach, it is crucial to investigate on which mechanisms are in place, if any, to
enable administrations to systematically followup on risk management practices and learn from
experience.
First, internal procedures and tools might be put in place, such as a project database for past
PPPs, and a monitoring tool tracking risk management experiences and lessons learned. To this
end, the identification of a champion within the relevant administration (e.g. the PPP unit)
tasked with establishing and promoting the use of such tools, can be a way to trigger a process
of systematic follow up and, at the same time, capacity-building.
Second, a systematic effort of ex-post evaluation can greatly contribute to an evidence-based
discussion on strengths and weaknesses of risk management practices. An approach combining
quantitative and qualitative analysis can especially benefit the understanding of PPP projects’
behaviors and their evolving performance over time, particularly as far as risk management is
concerned. A focus on ex-post evaluation can enhance the comparability of different PPP
projects, single out success factors, provide a relevant stock of evidence to feed into the policy-
making process, and increase the level of transparency in the approach towards PPPs.
Ultimately, combining sound internal procedures, tools and capacity-building with a systematic
effort towards independent ex-post evaluation can strongly enhance the follow up on risk
management practices, as well as the overall attractiveness of the PPP market.