Senior official says he expects private sector will engage in projects and initiatives with the gov't worth tens of billions of dirhams
Dubai has established a dedicated unit to focus on public-private partnerships (PPP) as it looks to develop and maintain a sustainable, high quality infrastructure in the city.
Abdulrahman Saleh Al Saleh, director general of Dubai's Department of Finance (DOF), said he expects the private sector will engage in projects and initiatives with the government worth tens of billions of dirhams within the next few years.
"We are continuously aspiring to enhance financial sustainability of the public sector and provide stimulus for economic growth in the Emirate of Dubai. In line with these aspirations, DOF is placing key focus on public private partnerships aiming to leverage local and international private sector expertise, efficiency, and innovation," he said.
"This business model has proved successful in countries that have been implementing it for a long period of time," said Al Saleh. "Alternative financing serves as a catalyst and a conduit for the attainment of additional strategic imperatives such as economic diversification, foreign direct investment, encouragement of local entrepreneurship and industry, and the pursuit of sustainable economic growth.
"In order to adhere to the targets set out by the Dubai Plan 2021 and the Dubai Industrial Strategy 2030, Dubai must deliver the infrastructure required to meet the needs of a growing population, and develop the Emirate as one of the world’s leading financial, touristic and commercial hubs," he added.
Aref Abdulrahman Ahli, executive director of planning and general budget sector at DOF, said: "DOF has established a dedicated PPP unit. We are also finalising the formulation of operating guidelines based on best practices across the PPP procurement lifecycle and devising a uniform budgeting approach to managing PPP liabilities and managing aggregate fiscal exposure."
According to Ahli, objectives of the PPP framework include the encouragement of private sector interest in participating in projects to increase investment in various relevant fields.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.