1. Public-Private Partnerships in Education Contracting Forms Harry Anthony Patrinos The World Bank 2010

3. 75 Million Children Out of School Low Academic Achievement Private Enrollment 1991-2003 Returns to Education by Level 26.6 18.9 17.0 13.1 19.0 10.8 0 5 10 15 20 25 30 35 PrimarySecondaryHigher PrivateSocial Latest estimates (97 countries)

4. Premise Government’s Role Externalities Capital market imperfections Agency concerns Equity Information asymmetries Variety of Instruments Ownership/Delivery Funding Regulation/Information

5. PPPs can be defined as a contract that a government makes with a private service provider to acquire a specified service of a defined quantity and quality at an agreed price for a specified period

6. Framework

7. Nascent Integral EmergingEngagedLacks Public provides, finances, regulates education services Vouchers, Loans, Scholarships. Funding follows student. Moderate Subsidies to private schools Contracts with private schools to provide a portion of education. Private schools Low PPPHigh PPP 100% Public100% Private Private Management of public schools PPP Continuum

8. 69% 9% 5% 100%

9. Benefits of PPPs Efficiency Service delivery Specialized skills Overcome public service restrictions Quicker response

10. Concerns Contracting out services is controversial – Privatization – Socioeconomic segregation – Poorer students left behind  But these are empirical questions Base decisions on facts, not opinions How to evaluate

11. Issues Resistance from certain stakeholders – Teachers and other employees – Civil service Can block, severely delay, stifle reforms… Consultation Quality of contract design, implementation → Create credible evidence

12. Evidence on Private School Choice

13. Education Service Contracting: The Philippines

14. Concession Schools: Bogotá, Colombia

15. Private Education Provision and Public Finance: The Netherlands

16. Thank you Harry Anthony Patrinos hpatrinos@worldbank.org