Public enterprises are entities that are owned and operated by the government. They provide public goods and services such as transportation, utilities, and communication services. Since public enterprises are owned by the government, their financing is mainly through government grants. These grants may come from the national budget or from external sources such as international development agencies. While public enterprises may also generate revenue from the sale of goods and services, they are often subsidized by the government to ensure affordable and accessible public services. Therefore, the financing of public enterprises is primarily through government grants.