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THE WORLD BANK

1818 H Street, N.W. 
Washington, DC 20433

This report was developed by the Financial and Private Sector Development (FPD) Network - Investment Climate Global Practice Private Participation in Infrastructure and Social Sector Service Line, and the World Bank Institute (WBI). It presents practical advice to Task Team Leaders/Project Leaders/Transaction Leaders in the World Bank Group on how to implement a framework for managing fiscal commitments from Public-Private Partnerships (PPPs) and draws on specific regional operational experience and on WBI's wider thematic engagement with different partners worldwide.

The note explains the kind of fiscal commitments that can arise from PPP projects and why governments may find it difficult to assess and manage them. It provides guidance on how to: consistently identify and assess fiscal commitments during project preparation and implementation; incorporate these into the project approval process - including budgeting appropriately; and strengthen the monitoring and reporting of fiscal commitments over the lifetime of the project. The note further highlights the key components of an institutional framework including the roles, responsibilities, and processes for managing these fiscal obligations.