Public utilities, especially in the developing countries are lacking the finances to upgrade their plant machinery etc to be able to compete with advanced technology. Private Foreign Investors can fill this gap, which can only benefit the community at large. One has to accept that if a foreign investor takes the majority shareholding, he would want to introduce the latest technology to protect his interests and no doubt the cost to the consumer would increase to cover the investors Outlay. The benefit comes by an improved product or facility, and in time often at a lower price. This has been proven in developing countries as indeed in the western world.
Privatization can be the way forward to a vibrant economy.
You have indicted that developing countries are in confusion in the process of privatisation. You have experienced Nepalese process and model. Privatisation is a sensitive subject in many developing countries. Unfortunately almost all of the State Owned Enterprises are overmanned, often through politicians using the S.O.E's as a source to give employment to friends or relatives. As a result if an SOE is listed for privatisation, as it is usually incurring heavy losses, and it is known that in the event of a private investor taking over there would inevitably be redundancies.