Economic Survey 2025-26: India Needs PPP Framework Shift to Reduce Uncertainty
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News18•29-01-2026, 14:30
Economic Survey 2025-26: India Needs PPP Framework Shift to Reduce Uncertainty
- •The Economic Survey 2025-26 suggests India's public-private partnership (PPP) framework needs to shift from transaction-centric execution to system-level market building, focusing on reducing structural uncertainty.
- •It emphasizes clearer sectoral pipelines, stronger links between national programs and project preparation, and disciplined pre-construction risk closure by public authorities.
- •PPP outcomes have been weakest where issues like land acquisition, clearances, and demand assessment remain unresolved, highlighting the need for the State to absorb early-stage risks.
- •Challenges persist at the sub-national level due to trust deficits, limited understanding of risk-reward principles, and uneven institutional capacity.
- •The Survey recommends professionalizing PPP cells, adopting programmatic approaches, and leveraging data platforms to track performance and lifecycle outcomes.
Why It Matters: India's PPP framework must evolve from transaction-focused to system-level market building, prioritizing risk reduction and clarity.
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