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Identifying Infrastructure Sectors for Islamic Public–Private Partnerships Projects

In: Sustainable Development and Infrastructure

Author

Listed:
  • Amadou Thierno Diallo

    (Islamic Development Bank)

  • Ahmet Suayb Gundogdu

    (Islamic Development Bank)

Abstract

Success factors for Islamic PPPs in pursuit of sustainable outcomes Public–private partnerships (PPPs) should not be assumed as a panacea in development finance since, regardless of decades of infrastructure development by multilateral development banks (MDBs) and local governments, human misery in the form of poverty and hunger still persist throughout the world. From the perspective of Islamic finance, the success of PPP projects should be defined as the repayment of loans without recourse to public sector guarantees or tax revenues and the provision of public services without inflicting a direct or indirect burden on the poor with a fair distribution of risks and rewards for parties involved. The evaluation of PPPs from a Maqasid, Shariah compliance, and resource mobilization point of view indicates the suitability of the PPP business model for economic infrastructure, and for transport infrastructure projects in particular.

Suggested Citation

  • Amadou Thierno Diallo & Ahmet Suayb Gundogdu, 2021. "Identifying Infrastructure Sectors for Islamic Public–Private Partnerships Projects," Palgrave Studies in Islamic Banking, Finance and Economics, in: Sustainable Development and Infrastructure, chapter 3, pages 37-56, Palgrave Macmillan.
    • Handle: RePEc:pal:psibcp:978-3-030-67094-8_3
    DOI: 10.1007/978-3-030-67094-8_3
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