The challenges facing the application of PPPs include the following:
- There is lack of human resources to effectively apply a Private Public Partnership.
- The Public sector institutions in Uganda are weak in terms of economic resource base and public sector regulatory framework.
- Many of the private sector candidates are new companies and lack adequate financial, technical and managerial capabilities to enable the growth in PPP.
- There is often political interference which often barriers effective implementation of private participation.
- There is lack of awareness PPPs as a means of implementing big projects
- The country lacks competent local service providers
- Lack of the necessary infrastructure like power, roads etc to support the project.
- Civil servants often fear to lose the power under PPP arrangements