An economic analysis of Public-Private Partnerships in the port of Tripoli in Lebanon

The public-private partnership is a mean of management which could offer advantages compared to the traditional embodiments of infrastructure projects. This article examines the acceptability and social support of this mode of public infrastructure management. This objective will be complemented by a quantitative approach which seeks to find out whether there is a causal link between public-private partnerships in port infrastructure and port activity. The port of Tripoli has been the subject of several partnership projects to develop the necessary infrastructure, to expand its area, and to significantly increase its income. Despite the many advantages offered by the public-private partnership, the latter nevertheless presents many challenges. Besides, it is important to examine the institutional context for the execution of such projects. The methodology combines a qualitative approach of a questionnaire with 152 respondents, and quantitative data analysis. The qualitative approach argues that public-private infrastructure partnerships (PPP) in the port of Tripoli have positive effects on the macroeconomic level and make it possible to reconcile the interests of the different stakeholders. The quantitative analysis proves, with an econometric approach, that there is at least one co-integration model between investment in infrastructure and increased port activity. In accordance with the expected benefits of the PPP in Lebanon, our double qualitative and quantitative study confirms the positive interrelation between PPP infrastructure projects and the increase in port activity. In future research, it would be interesting to develop a governance model of the port sector in Lebanon, aligning the objectives of the different ports in Lebanon. Infrastructure development should be a national priority, given its potential positive effect on the Lebanese economy.