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Module 12: Financing (investments)
12.6. What are the key issues relating pro-poor PPPs?
The main priority for PPP projects is
always to ensure that all segments of the population, including poor
people and ethnic minorities, have access to basic services. This aspect
has to be kept in mind during all stages of PPP design and especially
while considering investment financing.
International development aid and development debt financing
are available for projects targeted at the poor. The goal of the financial
instruments used is to ensure that following the private sector involvement,
all population groups have access to the basic services.
In general, it is a sound principle for the full cost of
water provision to be the basis for customer tariffs. However, there
is no need for an automatic rejection of all subsidy arrangements, given
that water is an essential service. See chapter
13 for details on pro-poor
subsidies.
End of Module 12
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