Direct and indirect support for an infrastructure PPP project by the project operator, the implementing agency, and local government unit is contingent on certain events or risks (natural disasters, for example) happening, as stipulated in the PPP contract. Credit enhancements are allocated to the party that is best able to manage these risks. Credit enhancements can include government guarantees on project performance; indirect guarantees can also be offered. These are agreements in which the government or any of its agencies or local government units assume partial or full responsibility for a project's financial standing to avoid the project operator defaulting on the project loan.