Study On The Operation And Risk Analysis Of BT Financing Model In External Highway Construction

Since the huge deficits, economic and debt crisis that affected the investment capacity and borrowing capacity, the government had to decrease the capital investment in infrastructure projects. Some countries, especially the developing countries, began to seek other investment and financing solutions.The construction enterprise, which lack of project funds and with arduous management tasks, need to explore various forms of investment, construction and management mode. BT is the international projects investment and financing model in recent years as a popular way. BT model rapidly developed in external highway construction and the applications was shown prominently in the infrastructure projects, meanwhile it inevitably had some flaws.The paper was taken the project financing, risk analysis, and economics theory as the scientific guidance, which focused on the operation and risk factors of BT financing models, and based on the BT model project financing theory and concepts, used the empirical and normative research method to study the operation and risk of BT financing Model in External highway construction. The author compared the differences between BT model and contracting project with funds model, analyzed the similarities and differences among BT and other project financing model from the use scope, proceeds, risk exposure, investors, funding sources and infrastructure efficiency and so on. Then the author also introduced the every stage and existing risks of BT model, especially analysis amply the nation, financing, credit and other risks. Finally, the paper was taken the No.57 highway project as the example study, which was the concessional loan project supplied by China to Cambodia, and summarized the existing problems of BT financing model to provide some useful reference for the future external highway construction of BT financing model. The paper is conducive to actively promote the diversification of financing models, and explore the new mode of external project financing, which mean to speed up the pace of China external infrastructure investment.