In recent years, the countries of the Europe and Central Asia (ECA) Region have experienced a marked decline in the interest of international private operators and investors in municipal infrastructure projects, in line with the trend experienced in other emerging markets.The objective of this paper is to explore the possible innovative elements of a Public-Private Partnership (PPP) in an effort to rekindle the sagging private finance interest in municipal infrastructure in the ECA Region. The contemplated PPP model would involve government, municipalities, Local Infrastructure Investment Trusts, private equity funds and/or turnaround advisors, and International Financial Institutions.

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