Public–Private Partnership (PPP) Infrastructure Projects in Bangladesh: Challenges and Opportunities

The government of Bangladesh has taken initiatives to implement infrastructure projects under Public–Private Partnership (PPP) arrangements. However, the policy makers, public sector clients, pressure groups and other stakeholders do not have clear understanding about PPPs and they have dilemma whether it is suitable for Bangladesh. This study explores the opinions of the construction professionals through questionnaire survey in Bangladesh about the opportunities and challenges for implementation of PPP infrastructure projects in Bangladesh. The survey result shows that 96% of respondents believe PPPs are “very important” or “important” for Bangladesh to develop its infrastructure because of: scarcity of public funds; lessening pressure of foreign loans from the government; providing uninterrupted public services; timely completion of infrastructure projects and quality of project works. The study also reveals that creating favorable business environment for the investors; preparing policy and guidelines; reducing political interventions; and preparing sound feasibility study will foster implementation of infrastructure projects under PPP models. The most challenging factors identified by the respondents are: interruption by the government; corruption in government sectors; lack of qualified local bidders/investors; acceptance of PPP projects by end users; and return on investment for the investors. If the identified critical issues are addressed properly by the government, Bangladesh could solve the existing problems with developing its infrastructures and would be emerged as one of the fastest growing economies in the world.