Willingness to take contractual risk in port public-private partnerships under economic volatility: The role of institutional environment in emerging economies

Zengqi Xiao and Jasmine Siu Lee Lam

Transport Policy, 2019, vol. 81, issue C, 106-116

Abstract: Port infrastructure investment environment is becoming increasingly volatile. Opportunities and challenges coexist and make port investment in view of economic volatility an interesting and important topic to study. A popular form of port investment is public-private partnership (PPP). It refers to a contractual arrangement between public agencies and private companies for works and services traditionally provided by the government. This paper aims to empirically investigate impacts of major economic recessions on private investors’ willingness to take port infrastructure PPP contractual risk in emerging economies given a fixed set of institutional environments. Multi-group structural equation modelling is employed and data mainly from the World Bank Private Participation in Infrastructure (PPI) database is tested in the model. Findings show that there is less impact of institutional factors after the 2008 financial crisis. Governmental intervention with quality institutional environment is an effective strategy in attracting private investors in ports.

Keywords: Public-private partnerships; Port; Port investment; Economic volatility; Willingness to take contractual risk; Structural equation modelling (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0967070X18308047
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:trapol:v:81:y:2019:i:c:p:106-116

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_1&version=01

DOI: 10.1016/j.tranpol.2019.06.001

Access Statistics for this article

Transport Policy is currently edited by Y. Hayashi

More articles in Transport Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().