2017 has been a busy year having the last six month full of many activities. The coordination secretary of Investment Partnership Program put it clear that there is an expectation of Tarcisio Gomes de Freitas to undertake 18 auctions focused in the field of infrastructure within the last four months of this year. Felipe Montoro Jens, who is an expert when it comes to projects concerning infrastructure, explains that the secretary gave an assurance that there will not be a change or modification of the plan despite the political conversions and discussions undergoing within the government of Brazil.
Felipe Montoro Jens also added that the Infrastructure Partnership Program is prone to be criticized and provoked by the private sector. This is especially after the announcement that major projects were going to be shut down. This announcement was made by big contractors who were affected by Lava Jato’s disapproval. Productivity in Brazil faces the risk of decreasing if improvement and expansion of infrastructure are not given the key attention it requires. Investors are driven away by low infrastructure leading to an increase in the rate of growth of unemployment.
This is according to the project coordinator of Investment Partnership program who also adds that concessions, in which they earn a lot of gains, have no escape. Having said this, he mentioned that one major advantage of the Investment Partnership Program is building governance on projects. The Investment Partnership Program has a goal of exonerating mistakes that have been committed in the past in the field of Public-Private Partnerships (PPPs). These mistakes occurred, as a result, the state over-intervening, leading to an imbalance of project risk. According to a report made by Felipe Montoro Jens, when the secretary was interviewed by EXAME magazine about whether the errors influenced the decisions taken by the foreign investors, Freitas referred to the presence of International Consortia in the International Partnership Program Auction.