Impact of Public Private Partnerships Infrastructure Investment in Transport on Foreign Direct Investment Inflows

Authors : Bedirhan Culfa, Güneş Topçu

Pages : 147-166

Doi:10.56668/jefr.1816785

View : 29 | Download : 60

Publication Date : 2025-12-30

Article Type : Research Paper

Abstract :The aim of this study is to investigate the role of public-private partnerships (PPPs) investment in transport on foreign direct investment (FDI) inflows in developing countries. The PPP method is a preferred financing method as it shortens the project period and acts as a solution to financial difficulties faced by the public sector due to insufficient funds. Transport infrastructure is a type of infrastructure that serves regional development and allows uninterrupted operation of supply chains. The fixed effects model is used to analyze the data. According to the empirical results, the impact of transport infrastructure financed by PPP on FDI inflows is significant and positive. Based on this result, it can be concluded that the PPP project financing model can be used as an alternative financing model in transportation projects to attract FDI; however, one should evaluate the costs and benefits of such projects carefully.
Keywords : Kamu Özel İşbirliği, Ulaşım Altyapısı, Doğrudan Yabancı Yatırım, Gelişmekte Olan Ülkeler, Bölgesel Kalkınma

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