Research On Private Capital Participating In The Urban Infrastructure Investment

Urban infrastructure is an important factor of the urban and the base of the economy activity of the whole city. Building up the high-class urban infrastructure is the basic term to advance the sustainable development of the urban economics and society and a vital factor of enhancing the comprehensive competitiveness of city, and is the need to improving the quality of the residents'life.After reform open, central and all levels governments value the construction and development of the urban infrastructure very much, they enlarge funds devotion, and this industry makes a great progress. But for long time, China's financial investment of urban infrastructure construction was through the government, and the accelerating urbanization process made the burden getting heavier and heavier. So single investor, channel of mixing fund and origin of fund seriously restrained the construction and development of unban infrastructure. On the other hand, with the deepening reform and opening, private capital savings was growing larger and larger, so changing this capital and investing into urban infrastructure construction can not only ease financial problem but also improve the management efficiency, and make a better service for people's life and production. A lot of international practice shows that to draw private capital to the infrastructure is feasible as well as necessary which conforms to the requirement and trend of social development.This paper analyses and defines the concept and elaborates the basic theory of the urban infrastructure; On the base of analyzing the history of China's urban infrastructure investment and financing, author uses economics, management, systems engineering knowledge and authoritative departments'statistics expounding the development of present situation objectively and comprehensively, analyzing the main problems during its developmental process in this area and preliminary researching the practical issues and obstacles related to the government attracting private capital participating into urban infrastructure investment; Then author analyses the necessity and feasibility for private capital participating into urban infrastructure investment, summarizes some developed countries'experience and mature ways that China can learn from according to its reality, explores some effective ways for the government attracting private capital participating into urban infrastructure investment; With China's present condition, analyzing developed counties'mature experience for attracting private capital participating into urban infrastructure investment by comparative method, the author summarizes some policy recommendations that can help the government to attract private capital investing in urban infrastructure effectively.