Private capital participation in financing infrastructure projects in Serbia

Abstract

Efficient and developed infrastructure presents a precondition for economic growth, development and prosperity of a country. In many developing countries like Serbia, the activities related to sector financing of infrastructure and public services are still under the jurisdiction of the public (government) sector, budgetary financed. The private sector involvement is very limited, or non-existent. On the other hand, the Governments of developed countries tend to involve the private sector in fulfilling the needs of national infrastructure as much as possible. This special role is played by the concept of public-private financing. This paper aims to point out the model of the public/private partnership, which might contribute to more successful fulfillment of the need for more modern and functional infrastructure in Serbia.