Optimization of B. O. T Contracts Using a Hybrid Model of Multi-Objective Programming and Game Theory

Abstract

In the current research, construction, operation and transfer or BOT contracts have been studied, which are of great importance to legal and economic experts today. Different countries, especially developing countries, consider these contracts as an efficient tool for attracting foreign capital and using private sector management in infrastructure projects. In this type of contracts, the public sector entrusts the construction of the design to the private sector, and the private sector is obliged to return the ownership of the design to the public sector after its construction and operation. For the success of BOT, the government must provide the economic, political and especially legal basis for private investment. Contract B. O. TIt is a suitable mechanism for the government and the private sector and the use of proper management of this sector, as well as the use of public funds to carry out construction projects faster. In the presented model and its mechanism, the role of banks and the use of loans were especially considered, because in our country, banks' investment is mainly related to the construction of residential and commercial units, and when the housing market Banks will face serious problems if they go into recession. But in this way, by investing in construction projects, they can earn future and long-term profits, and their funds, which are mainly people's deposits, can be used for the development of the country, and in fact, a win-win game will occur.