Examining the role of Public-Private Partnership in Post-Conflict Reconstruction and Development

Abstract

The main objective of this thesis is to examine and analyze how and in what sense Public-Private Partnership can be a significant tool for Azerbaijan in order to implement in its Post-Conflict Reconstruction and Development plans. The Karabakh War and nearly 26 years’ long Armenian occupation left behind totally destroyed infrastructure for habitat. Government of Azerbaijan will need massive financial resources to bring its citizens back and integrate liberated territories to the rest of the country. Purpose of this research is to analyze PPP concept and its current status in Azerbaijan in order to understand framework and provide findings as recommendations. The study seeks to analyze legal basis of PPP in country, attitude of government towards PPP and provide perspectives before possible shift in government policy with respect to PPP concept. The author used a single case study in this thesis. Qualitative research methods were point of reference for the author. In addition, qualitative in-depth expert interviews with Azerbaijani and Kyrgyz experts were determined as main data collection method, while secondary sources were also referred. The study results determined a weak PPP environment due to various reasons. However, initial seeds of change were observed in attitude of government towards PPP as this concept mentioned in Azerbaijan 2030: National Priorities for Socio Economic Development paper to be driving force for reconstruction and development projects. The results of this study also revealed that country specific realities should be considered while developing PPP concept in a country. PPP models which retains operation, and transfers the infrastructure to the public party are more eligible for the case of Azerbaijan. In general, both public and private sector in Azerbaijan lacks expertise to understand and implement PPP in Azerbaijan. PPP concept are disorderly in Azerbaijan with medium level legal compliance and weak effectiveness. There is also a need for an independent PPP agency, if government desires to acquire real results. Required human capital for the establishment of a PPP agency is not sufficient in public sector and there is need for intensive training and education by proper foreign institutions.