The study was conducted to identify the major challenges and opportunities of thernprivate sector face in PPP irrigation projects. The study is an exploratoryrnresearch and it has employed a qualitative data research methodology. Thernresearch involved primary and secondary data. The secondary data used in thernstudy were laws, policies, regulations, directives and other journals andrnpublications issued and provided by public bodies. The triangulation of the twornmethods allowed the researcher to develop and comprehensive understand of thernconcept. The researcher employed content analysis to study documents relevant tornPPP. The researcher also conducted face to face and video conference interviewsrnto collect data from participants. The research studied previous research worksrnon PPP prepared by different authors. The participants of the study were seven inrntotal incorporating 3 participants from the private sector, two from the public andrntwo other consultants. They were selected using a non-probable purposivernselection. The findings of the study showed that PPP irrigation in Ethiopia hasrnenormous potential for the private investment to participate. However, the privaternsector faces major challenges related to laws, institutions, access to finance,rnknowledge of PPP, land administration and perception of communities on PPPrnirrigation. The activities of the government towards, providing PPP literacy tornpublic institutions, and building coordination between ministries as well as thernfederal and regional governments, will make the promotion of PPP for irrigationrna success story. Finally, the study provided recommendations for the governmentrnto provide literacy programs to the public sector. It should also identify the rolernof its institutions by law and include key ministries and organs in the taskforce inrnorder cascading the activities of the government. It recommends the governmentrnto provide for mechanisms that allow FDIs expatriate profits rapidly. It alsornrequests the action of the government to revise its rural landholding laws to easernaccess to PPP irrigation project lands and finally put in place social mitigationrnmechanisms to encourage the participation of local communities.