Forming system of trade sector-public authorities interaction under public-private partnership in Ukraine

Abstract. The paper covers the features of public-private partnership (РРР) based on a cluster approach. The interaction between business and the state that is called public-private partnership is a common phenomenon in the economies of different countries. PPP is used in social projects which are of strategic importance for the development of a country in the first place. PPP allows for an increased number of infrastructure projects, enhancement of the local territories’ competitiveness, and an opportunity to meet urgent social needs in healthcare, education, culture, housing and utilities.The analysis of the world’s experience concerning recreation and tourism industry shows that the cluster approach is the industry’s main tool. It is also expedient to apply the cluster approach to PPP in Ukraine. Another way for PPP can be the use of contracts in the trade sector of the national economy.The cooperation between the state and the private sector in infrastructure projects and tourism will improve the competitiveness of business entities which are part of a cluster, create a positive investment climate, and provide for further attraction of investors to public-private partnership projects. Keywords: рublic-private partnership, cluster approach, development, trade sector, recreation and tourism sector, human capital