Regulatory agencies are also required, and they must be credible, legitimate and efficient. This must not be underestimated when it comes to contemplating private sector participation since it raises the issue of how such entities are going to be financed to avoid the economic and financial “capture” of the regulator by the granting authority or the operator. They often lack the competence and information to monitor contractual arrangements, investment plans, etc. The issue of accountability to and independence from the political power is also important to prevent decisions based on vested interests. Some MENA countries lack basic water institutions - others display fragmented institutional structures or overlapping decisionmaking structures, which often exclude users’ demands and civil society. Moreover, water is a matter of regional co-operation with many MENA countries facing similar challenges, and many sharing basins and rivers.