The present invention provides for liposomal vectors which inhibit inflammation and/or enhance expression of transferred genes. It is based, at least in part, of the discovery that vectors comprising a nucleic acid carrying a gene of interest and a cationic liposome containing an immunosuppressive agent induce lower levels of inflammatory cytokine relative to conventional lipolex vectors, as well as on the discovery that a component may be incorporated into the liposome which enhances expression of the gene of interest.