Project finance in the construction and service sectors has become extremely important since the Private Finance Initiative (PFI) concept was launched about 10 years ago and more latterly developed under the Public Private Partnership (PPP) banner. These encourage partnerships between the public and private sectors, involving the private sector in the provision and operation of assets that revert to the public sector at the end of a long-term agreement. It is the delivery of PFI/PPP projects to ensure value for money for central and local government and fair returns for shareholders that is the key to success. This requires effective procurement and project management at all stages in the project throughout the supply chain.
