Public-private partnership tendering periods: an international comparative analysis

Abstract

PPPs are often characterised by lengthy tendering periods that have the potential to deter bidders for contracts and increase transaction costs. We analyse data on 877 PPP projects in seven countries and find considerable cross-country variation in tendering periods. Using a duration analysis model we find that this variation persists even when we control for observable factors such as capital value. The longest tendering periods are found in the housing, health and defence sectors and tendering periods are positively related to project size. Indicators of institutional quality are not found to be significant.

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