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When the Government Actually Held the Baby
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They built a machine… well oiled by the way. They didn’t just run PPPs. The Ministry of Public Works (MOP) in Chile created a dedicated Concessions Unit in the 1990s. When other developed countries thought about. Tried to invent the wheel. Or create something too customized, too unique and too unbankable. Chile won them all. Delivered infrastructure like hell. Modernize the country at fast pace. When other dreamt, Chile delivered. Not consultants. Not a donor-driven office. A real, permanent team inside government. Here’s the difference: They paid competitively to attract talent. They kept the knowledge in-house, instead of outsourcing brains every procurement… different brains by the way. They built long-term careers around PPPs, so when a 30-year contract was signed, someone was still there to manage it in year 10, 15, 20. The result? Dozens of successful concessions: airports, highways, hospitals. International players lining up to bid. Disputes managed, not ignored. Private partners knew there was a grown-up on the other side of the table. Success in infrastructure is not about one shiny procurement. It’s about governments having the guts to invest in strong, permanent teams who can actually hold the baby for 30 years. One procurement process after the other. Chile did. And that’s why they became the benchmark for Latin America, while others spent fortunes on advisors and ended up in arbitration. Chile’s official knew the answers to these 100 questions. ​100 Q&A About PPP that you MUST KNOW​ PD 1: If you liked this email, don't keep it in secret and forward it to a friend. They will thank you enormously one day. PD 2: If somebody has sent you this email and you want to receive emails like this yourself, visit vicentevalencia.com PD 3: If you want unsubscribe, click the link below. |
Vicente Valencia
Weekly insights on how to perform when it matters | High-stakes decisions. Real situations. No BS. | 👇JOIN +2k readers 👇
Look. Capital does not flow into PPPs because the project is important. Or because the Government wants it. Or because the infrastructure is badly needed. This is something many get wrong. Capital flows when the project makes sense. When revenues are clear. When risks sit with the parties best able to manage them. When governance works. When the financial model survives serious scrutiny. When the documents answer difficult questions before investors ask them. In summary, when money can...
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