The Argentine government has issued new regulations for
public-private partnership (PPP) contracts in the public works
sector, which are expected to streamline the process and bring at
some US$40bn in infrastructure investments, according to state news
agency Telám.
Since Macri assumed power in Argentina, he has lifted currency
controls, cut subsidies and brought the country out of a 15-year
default by settling with holdout creditors. Now, he needs foreign
investment to compensate for the decline in weaker consumer demand
and kick start a flagging economy.
In Argentina, the need for infrastructure repair and improvement
has never been greater. By itself, the public sector lacks
resources to do anything meaningful given the infrastructure
deficit. Thus, the new legal framework aims to attract the
interests of banks, financial corporations and other private sector
players through Public Private Partnerships (PPPs).
