For a one-off PFI assessment, an ad hoc group can be pulled together, sourcing temporary staff from academia, government departments, business associations and experts from other organisations. If, after having implemented a ‘one-off’ qualitative PFI assessment, support for further assessment builds, there is nothing that prevents it from evolving into a formal body for on-going PFI assessment.
For regular or on-going reviews, a statutory body with a permanent and professional staff dedicated to the task of assessing the investment climate is best since its statutory basis and more secure resources will impart a degree of independence and enhance the transparency and credibility of the results. Such a Taskforce is often required because of the broad coverage of the PFI and the need to coordinate across policy areas. It will conduct the review and make recommendations to Cabinet for decision and then for the relevant ministry to implement. Ideally, it should be established under one of the major economic ministries, such as the Treasury (see chart).
The length of time taken to implement the PFI will vary according to three elements:
A quantitative PFI usually takes more time to conduct, as it requires multiple ‘rounds’ to ensure the quality of the assessment, although some in-depth qualitative assessments can also be time consuming. More chapters are likely to imply more time necessary to undertake a PFI assessment which will increase the amount of resources required. The more resources allocated, the more likely some or all of the chapters can be implemented simultaneously. The time taken to conduct the assessments of Vietnam, Egypt and South East Europe is shown below.