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Public-Private Partnerships in German development cooperation

Public-Private Partnerships (PPP) are cooperative ventures between companies of any size and development organizations in the public sector. Under a PPP project, the company’s business and technological experience and financial resources are combined with the regional and development-policy expertise and contacts of the development organization. This makes it possible to work together to achieve both global development goals and corporate goals more quickly and efficiently.

The PPP program is an initiative of the Federal Ministry for Economic Cooperation and Development (BMZ) that is implemented by various German development cooperation organizations in a number of emerging and developing countries. Every such project is planned, financed and implemented jointly by the partners involved. Opportunities and risks are shared equally by both sides.

The projects span a wide range, from the introduction of minimum social standards, to environmental protection, to infrastructure initiatives. They are reviewed according to four criteria:

1) Sustainability and compatibility with the development policy guidelines of the federal government

2) Complementary contributions from the political sphere and private industry (to ensure that goals are achieved more quickly and more completely)

3) Independent contributions from private industry (at least 50 percent of the costs)

4) Subsidiarity/Additional benefits (only for projects that the private partner would not undertake without the public partner)

Contacts for Public-Private Partnerships (PPP) include the following:

Center for International Migration and Development (CIM)
Focus: Arranging for and funding integrated specialists

Deutsche Gesellschaft für Technische Zusammenarbeit (GTZ)
Focus: Capacity building; large-scale initiatives in the field of technical cooperation

German Investment and Development Company (DEG)
Focus: Funding to supplement investment; large-scale initiatives in the field of financial cooperation

German Development Service (DED)
Focus: Assignment of specialist personnel; small-scale initiatives of local companies

Capacity Building International, Germany (InWEnt)
Focus: Training

KfW Development Bank
Focus: Infrastructure development and expansion; large-scale initiatives in the field of financial cooperation

SEQUA gGmbH - Partner of German Business
Focus: Basic and further training in developing countries, particularly for small and medium-sized enterprises

Contact person

Anna Peters

Anna Peters

Phone: +49 (0)5241 8181401

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