PUBLC VS PRIVATE PARTNERSHIP

 

HASSAM ASHIQ KHAN
BS GPP 6th

PUBLIC SECTOR

The public area of an economy is the area that gives a  range of governmental services. This can include infrastructure, framework, public transportation, government funded training, medical care, police and military administrations.

Although the public areas varies  among nations through  the regulation and laws that oversees the state associated institutes. Particularly, in low-pay nations with immature economies, mostly it focuses on providing services that can benefit the entire society rather than just those who are using the service.

Non-profit organizations and the public sector work towards the provision of health-related commodities. In the developed economies, the state sector works towards the design of strategies that can drive growth in the economy. State-owned organizations focus on the implementation of economic development strategies to seize new opportunities and anticipate development challenges. The Public Sector is usually comprised of organizations that are owned and operated by the government and exist to provide services for its citizens. Services like health care, national defense, public education, water management, and similar are typically provided by the public sector.

Examples of the Public Sector

Examples of public sector services and organizations include:

•          Training (Schools, Libraries)

•          Power

•          Crisis Services

•          Fire Service

•          Gas and Oil

•          Medical services

•          Foundation

•          Regulation Enforcement

•          Police Services

•          Postal Service

•          Public Transit

•          Social Services

•          Waste Management

 

Levels of Government

Public sector organizations usually exist at three levels:

·         Federal or National

·         Regional (State or Provincial)

·         Local (Municipal or County)

PRIVATE  SECTOR

The private area is benefit driven, taking on a focal job in the country's financial system. The private sector refers to the part of the economy that is not controlled by the state. It includes to gain profit by running businesses. Businesses controlled by the government are part of the public sector, while charities or other non-profits are part of the voluntary sector. Private sector plays an important role for any country.It is also the backbone of any country. In developing countries most of the companies and welfare organizations are working to provide goods and services to the people.

The essential drive behind any business in the private area is benefit. While there might be different objectives required as a component of center organization values, private area organizations strive to see a return on investment and increase year-on-year net profit. Private sector organisations are owned and controlled by entrepreneurs, private individuals, or groups of people. They are not owned or managed by government entities. There are many ways for a private sector business to obtain start-up capital, whether it’s through shareholders, private loans or investment activities.

Private sector examples

Ø Non-profit organisations: while they may receive special tax considerations or government grants, many charities are privately owned and operated.

Ø  Privately owned corporations: larger firms in the leisure, retail, and hospitality industries Like AIR BLUE

Ø Partnerships: examples include small legal firms, accounting practices, and dental offices.

Public and private sector comparison

a private sector business, the public sector also employs workers to accomplish its tasks. However, workers are employed at the federal or local government level. Public service jobs typically involve administrative, healthcare, teaching, armed forces, and emergency services. Workers are paid through government funds, often tax dollars. By contrast, private sector employees are paid from company profits.

PUBLIC PRIVATE PARTNERSHIP

A Public-private partnership (PPP) is often defined as a long-term contract between a private party and a government agency for providing a public asset or service, in which the private party bears significant risk and management responsibility (World Bank, 2012). It relies on the recognition that public and private sectors each have certain advantages relative to other in performing specific tasks. The responsibilities of the private sector could entail finance, design, construction, operation, management and maintenance of the project.

PRIVATE SECTOR

According to my understandings PRIVATE SECTOR ORGANISATIONS are better in our country because they are providing goods and services effectively and efficiently to the people.

I guess in developing countries like PAKISTAN Private Sector organisations earn profits because they are doing  business and they had invested lot of money in this but it is also true that these organizations are doing best.

If I talk about the Non Profit Organizations like EDHI Foundation ,Sayalani international welfare trust, they are providing very basic and fundamental services to the society.The private sector plays an important role in the economy through the following functions:

Ø Job creation through generating employment opportunities within private companies

Ø Contribution to tax revenues and capital flow through the economy

Ø Provides goods and services to both consumers and businesses

Ø Attracts investors both domestically and internationally

Ø Enhances business diversification and competition between companies

Ø Essentially, the private sector is a fundamental component of a free economy, driving development through business opportunity.

 

REFRENCES

ADB (Asian development bank)

https://www.indeed.com/career-advice/career-development/private-sector

https://www.wallstreetmojo.com/private-sector/

https://www.privacysense.net/terms/public-sector/#:~:text=The%20Public%20Sector%20is%20usually,provided%20by%20the%20public%20sector.

Brain storming

Own under standing