Ziad-Alexandre Hayek: Cyprus' potential to attract public-private partnerships is immense; but it needs a strategy

Cyprus' potential to attract public-private partnerships (PPP) is immense, but it must implement a well-structured strategy to tap into it, according to Ziad-Alexandre Hayek, President, World Association of PPP Units & Professionals (WAPPP).

Addressing the Unlocking Investment Through PPP International Summit, taking place now in Nicosia, Hayek said Cyprus may be a small country in terms of geography, but it is big in innovation. And PPPs help countries innovate.

For Cyprus, PPP is a great way to modernise its investment framework, he said. “If planned and implemented well, it will lead to a more inclusive, just and future looking society.”

But he warned that PPPs are not just a tool for public procurements, but also a tool for development. “We can have a fantastic situation but if we don’t know how to partner up with others, we won’t move forward,” Hayek pointed out.

If a country is open to PPPs, this builds investor confidence, he further pointed out. “It tells investors that this is a country that looks forward. What they want is credibility, clarity, continuity; what they truly seek is predictability. A strong PPP programme delivers that. It sends a clear and powerful signal that Cyprus is open to business.”

Hayek, who is a “proud and grateful resident of Cyprus”, said there is space for greater investment in the country. “PPPs can elevate growth; one euro in a PPP is more effective than one euro in manufacturing because of its ability to have a multiplier effect.”

As he explained, every euro invested in a PPP has a value of €1.50 or more. “An investment of €1b in infrastructure has the ability to create 30,000 direct jobs in Cyprus,” he said, adding that two to four are created alongside every direct job. “These are livelihoods. So it is not just about the economy, but social policy as well.”

According to the expert, Cyprus has no shortage of opportunities for PPPs.

“This country’s potential is immense,” he stressed.

Small-scale PPPs are also important

Small-scale PPPs are also important, Hayek said. They can empower local communities, municipalities and provide real impetus for growth of small and medium sized enterprises (SME).

Also, he said: “It sends a powerful signal, that in Cyprus no idea is too small to consider, and no business is too small to live.” It’s not just about attracting foreign capital, but uplifting local business, he added.

Concluding, Hayek said Cyprus has what it takes, the vision, institutions, and ambition. “But what it needs is a proper PPP strategy, that gives confidence and delivers results.

The Summit is addressed to Cyprus government officials involved in PPP, C-level executives of companies from all sectors of the economy involved or interested in PPP or PPI, and members of WAPPP and WAIPA.

The Summit has been organised by Invest Cyprus, the World Association of Investment Promotion Agencies (WAIPA) and World Association of PPP Units & PPP Professionals (WAPPP).

EY Cyprus is Gold Sponsor, Hermes Airports is Silver Sponsor, and the European Investment Bank is the Knowledge Sponsor.

It is being coordinated by IMH and is taking place under the auspices of the Republic of Cyprus.