MANILA, Philippines — The Asian Development Bank (ADB) has partnered with a Singapore-based organization to strengthen its dispute resolution mechanism for public-private partnership (PPP) projects funded by one of its facilities.
The Manila-based multilateral development bank said it recently signed a memorandum of understanding (MOU) with the Singapore International Mediation Center (SIMC) “to help public and private parties resolve disputes that may arise in infrastructure public-private partnership (PPP) projects.”
The dispute resolution will be carried out under its Infrastructure Referee Program (IRP) which is part of its Asia Pacific Project Preparation Facility (AP3F), a multi-donor administered by the bank.
Funds under AP3F are used to extend assistance to the governments of developing member countries to prepare and structure infrastructure projects with private sector participation. The fund is managed by ADB’s Office of Public-Private Partnership.
Under the MOU, SIMC would work with ADB to establish a panel of international mediators and experts with experience and skills in dispute resolution of infrastructure PPPs. Through the IRP, panelists will provide an independent, third-party opinion to resolve disagreements that may arise over the life of a PPP project.
ADB said the collaboration marks the start of a strategic relationship between SIMC and ADB to advance the development of sustainable PPPs in the Asia and Pacific region. It is also part of Singapore’s larger effort to establish itself as an international dispute resolution hub and infrastructure hub.
The bank described SIMC as an independent, nonprofit organization that offers professional dispute resolution services “tailored to the evolving needs of businesses in Asia.”
ADB said the collaboration comes as Asia and the Pacific is set to be one of the fastest growing regions in the world, “spelling the need for a robust, resilient dispute resolution framework for sustainable long-term economic growth.”