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FINANCIAL NEWS
Middle East infrastructure requires increasing private finance
06 Jul 2014
(MENAFN) Despite of the wealth of the Middle East countries, private finance is expected to play a significant role in the regional infrastructure sector, PwC said in its “Middle East Capital Projects & Infrastructure Survey June 2014” report, Saudi Gazette reported.
This is in part driven by the desire to get access to private sector expertise and rigor, but also because of the sheer scale and public financial commitments of the developments planned around the region, the report noted.
However, some lower income countries want to spread the cost of new projects over a longer period of time and share the long term operational and financial risks with the private sector.
While fewer than 10 percent of respondents thought public-private partnerships (PPPs) were not necessary in the region, the requirement for private sector funding is likely to increase, PwC said in the survey.
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