Law on Public-Private Partnerships Disseminated

The Ministry of Economy and Finance disseminated the Law on Public-Private Partnerships (PPPs), raising the public awareness on the law and highlighting incentives the law offers to investors.

The dissemination workshop was held here on July 12 under the presidency of H.E. Phan Phalla, Secretary of State at the Ministry of Economy and Finance with the participation of representatives of relevant ministries and institutions, development partners, financial institutions, consulting firm in public investment sector, law firms, insurance companies, national and international companies and other private sector.

Speaking at the workshop, H.E. Phan Phalla said the law aims to promote just management and implementation of public and private partnership projects in an effective, efficient, sustainable, transparent, and accountable manner.

“The Law on Public-Private Partnerships is another important achievement of the Royal Government of Cambodia to the leadership-civil servants in charge of matters related to public investment projects through the PPP mechanism, which is Project implementers directly in government ministries and agencies and key stakeholders, including development partners and the private sector,” he said.

The Law on Public-Private Partnership was enacted on Nov. 18, 2021 to replace the 2007 Law on Concession.

The PPP Law applies to all qualified projects dealing with the development of public infrastructures and public services in strategic sectors namely transportation, digital and telecommunications, energy, environment, social affairs, science, and agriculture, etc.

Under the PPP Law, the selected private partner may sustain the approved project by obtaining a Favourable Tax Regime, a Security Rights over properties of the projects, as well as a Guarantee by the Government to underwrite on any contracts to advance the project such as the guarantee on Credit Facility with potential Lenders.

Source: Agency Kampuchea Press