Governments are increasingly challenged by the demands of expanding urbanization, the rehabilitation of aging infrastructure, and providing services to those lacking or underserved, so they look increasingly to PPPs to:
Improve the delivery of services and the operation of infrastructure by tapping the expertise and efficiency of the private sector.
Mobilize private capital to speed up the delivery of infrastructure and services and eliminate subsidies.
Enable more efficient use of resources by improving the identification of long-term risks and their allocation, while maintaining affordable tariffs.
PPPs combine the different skills and resources of various partners in innovative ways and allow for the sharing of risks and responsibilities. This ensures governments benefit from the experience and expertise of the private sector, and allows them to focus instead on policy, planning and regulation by delegating administrative and day-to-day operations.