Public Private Partnership Within Policy Framework

Abstract

Rapid economic growth, growing urban population, increasing rural urban migration, and all-round social and economic development have compounded the pressure on the existing infrastructure, and increased the demandsupply gap in most of the developing world. The political economy of infrastructure shortages, constrained public resources, and rising pressure from citizens and civil society have combined to push governments and policy-makers to explore new ways of financing and managing these services. Governments have been pushed to explore new and innovative financing methods in which private sector investment can be attracted through a mutually beneficial arrangement. Since neither the public sector nor the private sector can meet the financial requirements for infrastructure in isolation, the PPP model has come to represent a logical, viable, and necessary option for them to work together.