BAKU, Azerbaijan, May 20. A "5P model" concept that expands classical public-private partnerships by incorporating two additional components - people and policy - aims to reshape urban governance, said Antonio Campagnoli, President of the International Real Estate Federation (FIABCI), Trend reports.
The official made the remarks during a business roundtable on affordable housing finance held within the framework of the World Urban Forum (WUF13) in Baku.
According to him, sustainable city development and the attraction of long-term capital into the housing sector require a novel approach to risk mitigation, alongside a more comprehensive interaction model between the state, business, and society. Campagnoli stated that the traditional framework of public-private partnerships no longer suffices to address modern urbanization and housing construction challenges.
He noted that alongside financial and investment risks, non-financial factors - such as a lack of trust, fragmented management, institutional instability, and weak coordination among urban development stakeholders - increasingly carry substantial weight. Campagnoli emphasized that the newly proposed model encompasses government, business, citizens, and a stable political-institutional foundation.
He stressed that engaging local communities bolsters the legitimacy of infrastructure projects and minimizes local conflicts, while stable and predictable policy remains critical for attracting institutional investors, including pension and international funds.
"The future of urban development will be determined not just by technology and financing, but by the quality of interaction between institutions, the market, and society. The '5P' model represents not only an economic system but a governance and trust-building framework aimed at reducing investment, social, and political risks," Campagnoli concluded.
Today marks the fourth day of WUF13 in Baku.
The first day included a ministerial meeting dedicated to the New Urban Agenda, a ministerial roundtable, assemblies for women and civil society, business sessions, and discussions on urban prosperity. An official ceremony marking the raising of the UN and Azerbaijani flags also took place.
The second day stood out for the inaugural Leaders' Summit, featuring high-level discussions on the global housing crisis, urbanization policy, and urban resilience. Concurrently, the opening of the Mexico City pavilion took place, serving as a significant platform for expanding cooperation with the Latin American region and preparing for WUF14.
The third day of WUF13 featured a comprehensive program of events covering the global housing crisis, the formation of safe and inclusive cities, climate resilience, artificial intelligence and urban governance, green urbanization, social equity, and sustainable transport.
WUF13, which has attracted more than 40,000 registered participants from 182 countries, will continue until May 22. Held under the theme “Housing the world: Safe and resilient cities and communities,” the forum brings together governments, international organizations, experts, and representatives of civil society to strengthen global cooperation in the field of sustainable urban development.
