Public authorities and governments in many countries tended to allocate to the private sector the operations management of existing PPP projects and for financing new projects. There are a lot of benefits from following this approach for all parties. These benefits included risk mitigation, cost savings in governmental expendures, service improvement, employment opportunities, and enhancement in economic indices. This approach was called public-private partnership (PPP). This term was defined as “a cooperative venture between the public and private sectors, built on the expertise of each partner that best meets clearly defined public needs through the appropriate allocation of resources, risks and rewards.” (World Bank, 2016) Public-Private Partnerships (PPP) projects become an important methodology for governments of both developed and developing countries, as a result from crucial role and their worldwide use. The PPP methodology enables public authorities and governments to allocate risks to different parties especially the private sector. According to the World Bank report the private financial participation in Egypt has accounted $219,229.82 Million in the period from 1990 to 2000. This figure has increased to $998,667.36 Million in 2015. (World Bank, 2016) PPP projects are usually more difficult to implement than other traditional procurement models because of their complexity and that their nature and their long duration. Previous research studies on several PPP projects showed that a number of problems exist in the project returns. Additionally these researches show that there is a need for an objective, reliable and practical return assessment model for PPP projects. This required model will help decision makers to assess the profitability of PPP projects at their early stages. To apply PPP projects in Egypt successfully, one of the fundamental requirements is to perform and implement a comprehensive analysis of Return on Investment (ROI). To do that analysis, it should include the factors affecting the ROI relating the projects’ influences such as ; financial, legal, political ,social, etc.
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