Failure of PPP mechanism: A cross-country analysis of these unique issues associated with the road sector in Southeast Asian markets

Abstract To meet financial requirement for infrastructure development, the Public–Private Partnership (PPP) mechanism has been applied in a range of nations as a promising solution. However, unpredicted collapses that are linked to PPP applications have been experienced worldwide despite scientific protocols and concentrated efforts from engaged sectors. Numerous academic works have attempted to minimize PPP failures by exploring the area of risk management. However, there are limited efforts focusing on Southeast Asia. Previous studies in these markets have mainly identified risks, rather than in-depth analysis of root causes of failure, or proposing practical solution. This paper, by carrying out an evidence-based analysis of the Southeast Asia experience with an intensive focus on emerging markets, analyzes critical reasons and their underlying connections that result in PPP failure. Research outcomes also suggest using constructive strategies promoting a regulatory framework to diminish collapses that affect drivers and so enable the restoration of PPPs.