4.  Why PPPs are attractive to governments?

PPPs have become attractive to governments as an off-budget mechanism for infrastructure development as:

•  They can enhance the supply of much-needed infrastructure services.

•  They may not require any immediate cash spending.

•  They provide relief from the burden of the costs of design and construction.

•  They allow transfer of many project risks to the private sector.

•  They promise better project design, choice of technology, construction, operation and service delivery.