Why does this matter? Government either gives loans and demands they are paid back, or pays for deliverables. If you have to keep your fingers in the books to feel good about what's happening, it was a badly structured contract.
Because it's my money and I want to know how it's being spent, whether it's the government or a private company spending it. I had no choice in where that money went, so I need transparency on how it's being spent.
That's why every government contractor has to report what they are doing with their government money.