OPPORTUNITIES FOR PUBLIC-PRIVATE PARTNERSHIPS FOR URBAN TRANSPORT PROJECTS IN SERBIA

The paper deals with the main issues of public-private partnerships (PPP) for urban transport projects. The role of government is necessary for successful transport projects, and therefore for urban transport projects as well. The question is not whether the government should intervene, but what that role should be, i.e. what is the best way that (national and local) government can strengthen its role by using new possibilities. This is of special importance for countries in transition, such as Serbia, because they need to attract foreign direct investments (FDI) and transport projects that need vast resources where PPPs can be an attractive vehicle for mobilizing FDI. The evolution of PPP initiatives took place over the last decades and some lessons should be learned. They are related to methodological issues, risk sharing, procurement methods, relationships between public and private sectors, the design of adequate regulatory and legal systems etc. Special attention is given to some opportunities for PPP for urban transport projects in Serbia. Experience of other countries of Southeastern Europe in this area could be instructive and helpful. PPP as a relatively new source for financing infrastructure projects may be of greater importance in Serbia in the coming years. Better knowledge of the potential of PPP with the building of monitoring mechanisms, legislative regulation and risk sharing can contribute to the creation of conditions for attracting new foreign investment to Serbia through urban transport projects.