Description
Leases and affermage contracts are generally public-private sector arrangements under which the private operator is responsible for operating and maintaining the utility but not for financing the investment.
Instrument category
Public-private partnerships (PPP)
Implementation status
High - much evidence available
Enabling conditions and success factors
- A robust PPP legislative framework in the country of project development is important for PPP deals to be structured.
Instrument benefits
- See the full analysis of the benefits and risks of PPPs at the World Bank's PPP web resource: https://ppp.worldbank.org/public-private-partnership/overview/ppp-objectives
Challenges and risks to implementation
- See the full analysis of the benefits and risks of PPPs at the World Bank's PPP web resource: https://ppp.worldbank.org/public-private-partnership/overview/ppp-objectives
