The importance of high quality infrastructure and its maintenance lies in its ability to stimulate economic growth as it fuels business activities, creates job opportunities, markets product, and generates earnings (Yakcop, 2006a). In consideration of this importance, the public sector encourages private sector participation in the delivery of public services and infrastructure in terms of funding and expertise. A successful Public Private Partnership (PPP) is one vehicle used internationally. Both New Zealand and Malaysia acknowledge the potential of PPPs in delivering high quality infrastructure and services to the general public. Consequently, both countries made a move towards PPPs by creating PPP-specialized units and producing PPP guidelines. However, thus far, Malaysia has been more active in pursuing PPPs when compared to New Zealand‘s cautious approach to PPPs. Hence, the purpose of this thesis is to find out the reasoning behind this trend. Issues relevant to reasons for implementing PPPs, features of PPPs, allocation of risks, performance indicators and accounting for PPPs are analysed to justify this trend. This thesis finds that the Malaysian "Vision 2020" has signalled a government preference for PPPs, including its ability to encourage bumiputera participation. Further, the government has developed a system involving Special Purpose Vehicles and utilizing government-held superannuation funds for project finance aid. Consequently, the system reduces the transfer of risk from the public sector to the private sector partners. This has transcended the major issue in New Zealand where the lack of a competitive market has restricted the development of PPPs. A lack of public support has also contributed to New Zealand‘s PPP under-development