The APMG PPP Certification Program enables participants to take their skills to the next level, and the Certified PPP Professional (CP3P) credential is a means to officially convey that expertise and ability. Whether you’re thinking about signing up, or already enrolled, in this series we share some insight from practitioners who have already passed the test. This week, we caught up with Paul Barbour, Senior Risk Management Officer at the Multilateral Investment Guarantee Agency (MIGA). Read his answers below.
QUESTION 1: This is a unique certification program because it focuses on public-private partnerships and because it provides training and self-study testing to attain certification. What led you to pursue the CP3P credential? Would you advise your peers to register and why?
As MIGA works to support so many PPPs, it’s good to have a deeper understanding of these structures. I would advise my peers to register, it’s always useful to refresh your understanding of the issues and deepen your understanding.
QUESTION 2: Please tell us more about your career. How do you plan to incorporate what you’ve learned?
With a greater knowledge of PPP structures—and potential pitfalls—I can better understand the risks that MIGA is taking when we support PPPs. For example, if a PPP is earning local currency revenues, any international sponsor or investor has to be able to convert those local revenues into U.S. dollars or Euro, etc., and transfer them out of the country. This risk is something MIGA specifically provides insurance against.
QUESTION 3: As someone who has already passed the PPP certification exam, what advice could you share with people who are studying for it right now? Any other test preparation tips?
Take the exam soon after studying—don’t delay. And, answer all the questions, even if it’s a guess!
QUESTION 4: If you were going to add a test question, what would it be? For that test question topic, could you recommend a related resource from the PPP Knowledge Lab?
“Why would a government authority want to issue a PPP which pays in local currency vs. a Freely Usable Currency such as the U.S. Dollar? Why would an investor prefer to receive revenues in Freely Usable Currencies?”
As a resource I would suggest "The Importance of Sub-National Authorities Avoiding Foreign Exchange Risk When Borrowing Long-Term" (David Painter, Josh Gallo - PPIAF SNTA Brief, 2012).
QUESTION 5: What is your favorite study snack?