Potentials and Challenges for Public Private Partnerships in India

Abstract

Public Private Partnerships (PPPs) emerged in India, as elsewhere in the world, as an economic development instrument for mobilizing capital and efficient management resources required for large infrastructural and industrial projects. This happened in the background of the failure of the public sector dominated economic development strategy adopted in India until the late 1988s. The present paper discusses the nature and potentials of PPPs and the socio-structural limitations that the PPP arrangements are likely to face in India given, unlike in the developed countries, that the masses of people of India are not yet capable of bearing the high costs of final products and services produced through the private capital.