Source: The Indian Express

By ZEENAT NAZIR

NEW DELHI, MAY 24: A critical "P" seems to have gone missing from the 3 Ps of the Public-Private Partnership model that's being sold as the panacea for India's infrastructure woes. A study published in the McKinsey Quarterly has revealed that a mere 4 per cent of the total planned investment in transportation infrastructure in the country between 2005-10 is being contributed by the private sector.

PPPs are recognised as the way for transforming public services, ringing in competitiveness and creating additional financing capacity, but the private sector is still reluctant to fund transportation projects. "A $10-billion of private investment in transportation is nowhere enough to sustain infrastructure growth in the sector," said K L Thapar, director of the Asian Institute of Transport Development and a former Planning Commission member.

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Posted by pichu at May 25, 2007 11:10 AM