Public-Private-Partnership in Ethiopia: The Inclusive Modality in Tourism Investment (original) (raw)

ST.MARY'S UNIVERSITY SCHOOL OF GRADUATE STUDIES PUBLIC-PRIVATE PARTNERSHIP FOR SUSTAIANBLE TOURISM DEVELOPEMNT IN ETHIOPIA: PRACTICES, CONSTRAINTS AND PROSPECTS

ST.MARY'S UNIVERSITY SCHOOL OF GRADUATE STUDIES , 2015

Abstract Tourism is considered as a driver of economic development globally. It is complex sector that touches almost all other sectors in terms of strategy, institutional framework, and actual implementation. As a result sustainable tourism development needs huge investment whereby financing may become very difficult for developing countries with increased population that needs basic infrastructure and public service. PPP usually suggested as a viable model to finance tourism development where tourism projects are financed and operated through between government and one or more private sector companies. Considering its tourism resource base, Ethiopia is positioned at a top of the Sub-Saharan African countries along with South Africa with nine world heritage sites. It has also more 15 national parks and varied tourism endowments not register as world heritage site by the UNESCO. But its tourism development is at its initiating stage. On the other hand developing countries like South Africa, Turkey and Tanzania, who integrate PPP in to their tourism development strategies able to reach the upper tourism development stage, while the effort to develop the abundant tourism endowments of Ethiopia through PPP seems foggy with missed opportunity. This study adopted an exploratory research design using qualitative approach to get insight about the potential, practices, constraints and prospects of PPP for Tourism Development in Ethiopia. Relevant literatures were critically reviewed, practical experiences of selected developing countries were examined, and insight stimulating analyses were captured by interviewing purposively selected professionals and practitioners based on strategic, contextual and operational dimensions of PPP as development approach. The findings of the study indicate that though there are PPP initiatives by donor agencies, and as consultation forum by the government, PPP is not considered as development tool with practical collaborative arrangement whereby the government use the financial and technical resource of the private sector for sustainable tourism development. From strategic point of view, there is no PPP specific policy and strategy. In respect to the context of tourism sector, PPP is not integrated in to the Tourism Development Policy and subsequent long, medium, and short term strategies. Operationally, there is no PPP authority and PPP procurement laws that can guide adaptation and implementation of PPP tourism projects. Key words: Privatization, Public-Private Partnership, Public Procurement, Sustainable Tourism Development, Tourism Development Stages, PPP Approaches, PPP Models

Factors for Implementing Public-Private Partnership ( PPP ) in the Development Process : Stakeholders ’ Perspective from Ethiopia

2014

This paper presents the findings of a study that assessed factors for adopting PPP in public service delivery and development projects in Ethiopia. A questionnaire survey was conducted considering professionals and practitioners from different institutions. The survey respondents were selected individuals with hands-on experience in PPP related issues and private sector development programs. They were asked to rate the relative importance of the identified six factors on the basis of Likert scale style. The data were analyzed using econometrics software Stata version 12 to calculate mean score ranking, and an independent sample t-test. The findings of the top three ranks were investigated. Ranked top by the survey respondents was the ‘existence of PPP specific legal framework (MS=4.8), followed by ‘Existence of PPP dedicated Public Agency’ (MS=4.6), and the third was ‘Government Guarantee’ (MS=4.4). The rankings show that in general the prevalence of legal and institutional framewor...

Global Report on Public-Private Partnerships: Tourism Development

The development of tourism in emerging economies have been shaped by many factors among which Public-Private Partnerships (PPP) play a key role as they bring together government agencies and the public sector with representatives of the whole tourism value chain under the same goals of promoting socio-economic development, sustainability, job creation and international competitiveness through tourism. PPPs are beyond a developmental tool, but are sometimes essential to stimulate creativity, enhance competitiveness and achieve visionary results which may be difficult if both parties operated in isolation.

Implementation of Public Private Partnership in The Development of Tourism in Sumenep District

Jurnal Ilmiah Ilmu Administrasi Publik

The development of the tourism sector in Sumenep City continues to be encouraged to improve the community's economy and increase Regional Original Revenue. But unfortunately the target of foreign tourist visits can not be achieved because of the availability of inadequate infrastructure. To meet these shortcomings, the Sumenep City Government established a partnership with PT. Persada Investama Karya Utama to establish a three-star hotel "de Baghraf". This study aims to describe the implementation of the Public Private Partnership (PPP) and describe in detail the benefits and the constraints faced in the construction of the three-star hotel "de Baghraf" in Sumenep conducted by the Government of Sumenep City with PT. Persada Investama Karya Utama. This research uses descriptive qualitative research methods using PPP theory. The results of this study indicate that the collaboration carried out using the Build Own Operate (BOO) partnership scheme is following th...

Public-private collaboration in the Tourism Industry in Northwestern Ethiopia

2018

Tourism has become an important socio-economic development tool in many parts of the world, including developing countries such as Ethiopia. To sustainably develop the existing and potential destinations, collaboration among key stakeholders is of high importance. Amongst these key actors, the private and public sectors are the leading ones. This study was conducted at the two World Heritage Sites of Ethiopia: Gondar and Lalibela, and the UNESCO registered Biosphere Reserve of Lake Tana, including the UNESCO Learning city of Bahir Dar. These destinations are strategically located in Northwestern Ethiopia, in the Northern historic route of the country which receives the largest number of international visitors of the country. The study area is famous for unique cultural, historical, religious, religious and natural attractions. The necessary data for this study were mainly collected using a semi-structured in-depth interview methodology. The researchers used a purposive sampling tech...

Asssessing Public Private Partnership in Indonesia Tourism

Policy & Governance Review

Several studies have shown significant development in Indonesia tourism; however, works of literature that focus on the extent of successful stakeholders’ participation in Indonesia tourism are hard to be found. This study aims to determine the success of public-private partnership (PPP) in the development of tourism in Indonesia and uses a descriptive qualitative methodology by conducting a literature study on previous studies related to tourism development in Indonesia, which adopted the concept of PPP in 2012. The research result shows that the PPP concept can be effectively carried out in tourist destination development programs and tourist infrastructure improvement programs. In addition, several targets must be set to achieve the success of public private partnership in the development of tourism in Indonesia, namely: 1) creating competitive tourism globally or nationally, 2) creating cooperative tourism focusing on the service and tourist destination infrastructure, 3) creati...

Public-Private Partnership – a new path for tourism development

The purpose of this paper is to identify and analyze a new path for tourism development – public-private partnership, and to expose the advantages deriving from this type of collaboration. As a consequence of global crisis UE promotes PPP’s for regional development, Romania also has changed the law on this partnership, being rather an update of the 2004 law, harmonized with EU directives. In tourism industry PPP’s are common for infrastructure development, for mega-events like winter olympics, European and world championship in different sports. The types of PPP’s can be developed in a various way in this industry – public-private strategies, up growing business, joint proposals of regulations etc. This paper aims to identify needs of the private economic agents and local authorities in the Prahova Valley to the European Youth Olympic Winter Festival to be held in 2013, and how they can be integrated in a project based on public-private partnership. The article is based on a questionnaire addressed to the main economic agents in Sinaia, but the local authority

Promoting Public Private Partnership for Development of Tourism Sector of Bangladesh: An Exploratory Study

European Journal of Business and Management, 2013

Tourism has become a very important and dynamic sector both in the world economy and particular in the developing country like Bangladesh. Its growth affects not only the activities directly linked to tourism but also other sectors. This article is devised to find out the prospects of tourism with the help of public private partnership (PPP) projects in Bangladesh.The key findings of the study is that proper implementation of public private partnership in tourism can enhance economic growth of Bangladesh through developing tourism sector.

Exploring the Conceptual Model of Public Private Partnership for Local Tourism Development

Proceeding of International conference on Innovation and Technology (ICIT)2020

The concept of Public Private Partnerships (PPPs) has been accepted as one of viable alternative to promote the infrastructure development. Yet, recently some of government institutions have been applied PPPs for developing local tourism site for their region. The situation is going to be more complex when the PPPs deal with some non-physical attributes and generate several shortcomings. Therefore the need of specific model to cover PPPs as the concept and tourism development as its substance is become essential. This research attempts to explore the model by using a specific review toward the recent literatures and theories. It is conducted by contextual approaches intended to adjust with Indonesian tourism development. The result of this research has described the specific model which is constructed from the series of literature discussion from previous studies. It has designed to minimize the weakness and vulnerable points from PPPs for tourism development.

The State of Affairs of Public Private Partnerships in Ethiopia

EPPPL, 2022

Owing to the increasing demand for social and public services and the inability of governments to satisfy these demands, the need for introducing public-private partnerships (PPP) has recently been remarkably increasing in developing countries. This was not an exception in Ethiopia. Thus, this study was designed to examine whether Ethiopia had the necessary institutional, legal, and policy frameworks for PPP; to explore if there were existing PPP projects and determine their typology, as well as identify potential PPP areas and the associated challenges. To this end, a qualitative exploratory design was employed. Data were generated through in-depth interviews and focus group discussions from several federal and regional institutions and municipalities and through document analysis and literature review. The study reveals that Ethiopia has recently developed PPP specific policy, legal and institutional framework, albeit there is a vast capacity deficit from the government side to implement complex PPP contracts. Although not yet well institutionalised, there had been some PPP-oriented contract agreements in Ethiopia before the PPP-specific framework was developed in 2018. They include contracts for utility billing, security and cleaning, urban greenery, waste disposal, and the construction of condominium houses. Most notably, the government has recently awarded PPP-based concessions to foreign companies to develop energy plants and several projects are already in the pipeline. However, implementation is still at an initial stage. Some recommendations have been forwarded so that Ethiopia could get the most from PPP without harming its national interest and crowding out the local private sector.