1.1 The Government has notified the Policy and Strategy for Public-Private Partnership (PPP), 2010 to undertake various projects related to infrastructure as well as public service delivery through Public-Private Partnerships (PPP).
1.2 In accordance with the policy objectives, the Government of Bangladesh has decided to subsidize economically viable PPP Projects that will not be financially viable if they are constrained to charge affordable user tariffs or utility payments. The Government will make such PPP Projects financially viable by providing a budget line. This budget line shall be known as the Viability Gap Financing (VGF).
1.3 This Guideline sets the criteria for eligibility to receive VGF, the procedure for submission, appraisal, approval, disbursement and monitoring the Viability Gap Financing.