The Role and Impact of Public-Private Partnerships in Education

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spotlight Spotlight on Education for All in Africa In Africa, a region in which the challenge to fulfill the Millennium Development Goals (MDGs) is dire, a dynamic private sector has expanded the access to and quality of education through a variety of public-private partnerships. In many countries, the private sector plays an important role in the provision of basic education. Traditionally, most nongovernment schools have been faith-based and community-managed schools catering to children from low-income backgrounds, and in some cases, these schools have received public funds. Such is the case in Burkina Faso, where the government funds Catholic and secular private schools, which enroll 35 percent of all secondary school students. Some countries use contracts to outline the respective responsibilities of the public and private sectors in the provision of education, as in Côte d’Ivoire and Uganda. A worldwide commitment to ensuring universal coverage of basic education has led to public resources being concentrated at the primary level. The increasing flows of students completing primary education resulted in competition for limited places in high-quality public or private-aided secondary schools in many countries, thus giving an advantage to academically superior students. In Kenya, for instance, the transition rate from the primary level to public secondary schools was 57 percent with completion rates of only 79 percent. This excess demand for highquality secondary education resulted in a growth in the creation of lowcost private schools in many countries including Benin and Nigeria. In Lagos, it is estimated that in 2006, 36 percent of total enrollments were in private schools, and these figures may even be an underestimate given the increase in the number of private unregistered schools. In Benin, enrollment rates in private primary and secondary schools increased from 8 to 25 percent between 1990 and 2005. Increased private sector participation in the provision of education helps governments to absorb student demand. Public perceptions of poor quality education at public schools at all levels are driving the expansion of private schooling. Many of these new private schools cater to low-income families, are for-profit, and charge low fees. The new private providers are aiming to offer a more conducive learning environment than the public schools provide, sometimes with lower pupil-teacher ratios, better infrastructure, and more motivated and accountable teachers. It is estimated that across Africa, 10 percent of students attend nonstate schools and that between 1991 and 2003, the number of private primary schools increased by 113 percent. Governments are increasingly acknowledging the role that private education plays in improving education quality and widening access. Many of them are devising ways to strengthen the capacity of private schools to deliver high-quality education (for example, by facilitating loans to private schools to improve school infrastructure as in Mauritius and Ghana) and to ensure greater coverage for poor students and developing appropriate regulations to govern the operation of private schools. However, governments still face the challenge of putting in place favorable regulatory environments. It will be crucial for governments to establish clear guidelines for the creation of private schools; set up quality assurance and monitoring processes, and incentive structures; and ensure the free flow of information to parents about their education options. Sources: IFC 2006; World Bank 2008; UNESCO 2007; Fielden and LaRocque 2008; Verspoor 2008; Lewin and Sayed 2005. Delivered by The World Bank e-library to: unknown IP : 192.86.100.35 Mon, 30 Mar 2009 12:16:23 (c) The International Bank for Reconstruction and Development / The World Bank
Designing a Conducive Environment for Education Contracting For public-private partnerships to live up to their potential of bringing many benefits to the education sector, they must be well designed. Poorly designed PPPs can expose governments to significant financial and policy risks, such as cost increases and unmet objectives. Governments can do several things to create an environment that is conducive to the establishment of welldesigned and successful PPPs in education, and these are summarized in box 4.1 and discussed in detail in this chapter. Common weaknesses in education policy and regulations Positive economic outcomes depend upon the right policies and sound institutions. Welldesigned policies are also vital for achieving positive outcomes in the education sector in general and in private education specifically. Box 4.2 presents key principles for effective design and implementation of public-private partnerships in education. The key to ensuring the success of PPPs in education is to put in place an enabling policy and regulatory framework that creates the conditions under which private schools can operate effectively and efficiently. This framework should also ensure that the sector as a whole delivers high-quality education and that the wider public interest is protected. A key weakness in many countries is government resistance to accepting the private sector as its partner in the social sectors. Thus, while these governments might allow private schools to exist, they do not fully recognize their contribution to achieving important economic, social, and education goals. In addition, many governments limit the number of private schools that can be established and discourage private investment in the education sector. There are many examples of such inappropriate regulation. The most severe are laws that ban private schools outright or fail to recognize their existence. Other weaknesses include unclear and subjective school registration chapter4 BOX 4.1 Summary of actions that governments can take to promote public-private partnerships in education • Provide a sound basis for the establishment of the private school sector • Allow private schools to set their own tuition and other fees • Allow both not-for-profit and for-profit schools to operate • Promote and facilitate foreign direct investment in education • Establish clear, objective, and streamlined criteria and processes for establishing and registering private schools • Provide subsidies to the private school sector • Ensure that PPP contracts give private providers considerable flexibility • Establish quality assurance processes and provide families with information to help them to choose schools for their children • Use a transparent, competitive, and multi-stage process for selecting private partners in PPPs • Separate the purchaser and provider Delivered roles within by The the World education Bank e-library administrative agency unknown to: • Ensure that IP the : 192.86.100.35 PPP contracting agency Mon, 30 Mar 2009 12:16:23 has adequate capacity • Establish appropriate performance measures and include performance incentives and sanctions for inadequate performance in PPP contracts • Develop an effective communications strategy to inform parents about school characteristics, and the public about the benefits and objectives of PPPs • Introduce a framework for evaluating the outcomes of contracts • Involve international organizations in encouraging the growth of PPPs 43 (c) The International Bank for Reconstruction and Development / The World Bank
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The Role and Impact of Public-Priva
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Page 7 and 8: Contents Foreword ix Acknowledgment
Page 9 and 10: Contents vii Boxes 1.1 Sources of c
Page 11 and 12: Foreword Education is widely believ
Page 13 and 14: Acknowledgments We acknowledge the
Page 15 and 16: Abbreviations AVEC BRAC BTL CARE ES
Page 17 and 18: Introduction Despite recent increas
Page 19 and 20: Introduction 3 schools (for example
Page 21 and 22: Introduction 5 PPPs may face resist
Page 23 and 24: Introduction 7 recent (such as thos
Page 25 and 26: Understanding Public-Private Partne
Page 31 and 32: International Experience While gove
Page 33 and 34: International Experience 17 Countri
Page 35 and 36: International Experience 19 BOX 2.1
Page 37 and 38: International Experience 21 of stud
Page 39 and 40: International Experience 23 of trad
Page 41 and 42: International Experience 25 to prov
Page 43 and 44: International Experience 27 allocat
Page 45 and 46: International Experience 29 student
Page 47 and 48: What Do We Know about Public-Privat
Page 49 and 50: What Do We Know About Public-Privat
Page 57: What Do We Know About Public-Privat
Page 61 and 62: Designing a Conducive Environment f
Page 75 and 76: Conclusions Despite recent increase
Page 77 and 78: Conclusions 61 for providing educat
Page 79 and 80: Conclusions 63 The United States ha
Page 81 and 82: Conclusions 65 limited data, and, t
Page 83 and 84: Conclusions 67 funding system shoul
Page 85 and 86: Conclusions 69 system is a persiste
Page 87 and 88: Public-Private Partnerships: Progra
Page 99 and 100: appendix BMethods for Evaluation of
Page 101 and 102: References Aedo, C. 1997. “Organi
Page 103 and 104: References 87 in Emerging Economies
Page 105 and 106: References 89 Discussion Paper 2003
Page 107 and 108: References 91 ———. 2003b. Par
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Index Boxes, figures, and tables ar
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Index 95 H Haiti, 18, 19b, 73 Heckm
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Index 97 schools. See also charter
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Delivered by The World Bank e-libra
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