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Most public infrastructure is built by government, why does government promote private sector to participate?

    Government and private sectors are good at different areas. Through PPP, public and private sectors can build partnerships. PPP could also lower and balance the risk of designing, constructing, and also the legal changes. To use the funding, operation efficiency and managerial expert from the private sector in PPP is more effective than by the government or private sector alone. According to the experience of England, 80% of the infrastructure wholly operated by the government had side effect like delaying the finishing date and adding budget. However, those problems are lower to 20% when it was done through PPP. PPP helps saving 17% of the budget in government expenditure, which means it makes every penny count and worthy.

Issued:Promotion of Private Participation Release date:2016-09-30 Last updated:2022-12-22 Click times:541