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Improving Value for Money in Italian Project Finance

Roberto Moro Visconti (Department of Business Administration, Università Cattolica del Sacro Cuore, Milan, Italy)

Managerial Finance

ISSN: 0307-4358

Article publication date: 7 November 2014




The purpose of this paper is to detect how Value for Money (VfM) in Italian Project Finance (PF) investments can be enhanced and challenging criticalities minimized, with a synergistic interaction of macroeconomic, legal and institutional actions.


Analysis of VfM quantitative key drivers, within a public-private partnership (PPP) framework with specific reference to a recession context, with infrastructural capital rationing implications. Empirical evidence is given by an Italian PF healthcare model, testing the impact of legal and macroeconomic changes.


Deleverage, ignited by W-shaped recession, disinflates PPP investments, so forcing to innovative and penniless solutions. Unreliable and short-sighted legislation and consequent unfriendly business climate may frighten investors, so decreasing competition and VfM.

Research limitations/implications

VfM sensitivity to macroeconomic and legal/institutional parameters is too wide and capriciously erratic to be comprehensively modeled. Tips for further research include pro-growth tax and budgetary policies, risk minimization issues and other synergistic targets.

Practical implications

Guidance to regulators to fine tune legal and institutional tools, so as to create a stable, business friendly environment. Recessions may be softened by sensitive policymaking, or exacerbated by short-sighted ignorance and lack of strategic focus.


Unprecedented analysis of legal and macroeconomic changes on VfM in Italian PF investments, with original tips for VfM optimization, in a comprehensive PPP framework.



JEL Classifications — E62, H50, K23


Moro Visconti, R. (2014), "Improving Value for Money in Italian Project Finance", Managerial Finance, Vol. 40 No. 11, pp. 1058-1077.



Emerald Group Publishing Limited

Copyright © 2014, Emerald Group Publishing Limited

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