Analysis On The Competitive Power Of PPP Business In Infrastructure And Public Security Mode

PPP model as one of the most important way for infrastructure financing, construction and operation, plays a positive role for the government to reduce the financial pressure, improve infrastructure operational efficiency, introduce advanced technology and management experience, improve service quality and social benefits. Existing multilateral development financial institutions in the field of PPP infrastructure projects have carried out extensive practices and have accumulated rich experiences, however, the newly established Asian infrastructure investment banks,which committed to the field of infrastructure development in Asia regional multilateral development banks, has not yet formed standardized operating procedures and standards for the infrastructure PPP program area.This paper attempts to depict AIIB infrastructure PPP business realistic foundation and the external environment for the development of AIIB infrastructure PPP business through a series of stating and research, such as infrastructure PPP model theoretical basis, operation mechanism, the main multilateral development banks’ infrastructure PPP business practices and AIIB infrastructure PPP business competitiveness analysis,and then put forward workable and constructive suggestions, so as to provide some useful references for the PPP business operation of AIIB.Firstly, this paper constructed a theoretical framework for infrastructure projects of PPP mode. Discussing infrastructure project financing, construction and operation from the perspective of periodic characteristics of infrastructure, and finding theoretical supports for infrastructure projects PPP mode by the theory of public goods, public choice theory and property rights theory, and then describing advantages and disadvantages and the application scope of the PPP model, government-led model and private-led model in order to give a comparative analysis.Secondly, this paper conducts a comprehensive discussion and analysis of the operation mechanism of PPP infrastructure, including the mechanism of infrastructure PPP projects, such as the scope of application, types of PPP projects and participants, and drawing a general picture of infrastructure PPP projects by outlining a typical process and case studies.Thirdly, summing up the experiences of application of the PPP model and business practices the World Bank, the Asian Development Bank and other multilateral development finance institutions. This paper analyzes the characteristics of project financing, infrastructure PPP business and the projects risks for multilateral banks, further more discussing Asian region’s main multilateral development banks, the World Bank and the Asian Development Bank’s PPP business profile and limitations to draw experiences for the infrastructure PPP business practices of multilateral development banks.Finally, this paper analyzes AIIB’s infrastructure PPP business competitiveness from the macro and micro aspects, and proposes operable proposals for AIIB PPP business development. AIIB’s infrastructure PPP business competitiveness includes the macro factors, for example, political, economic, technological, social and environmental analysis, and micro factors including market demand, supply of factors and other multilateral development banks’ PPP business status in Asia. As a conclusion, focused and constructive suggestions for the future development of AIIB infrastructure PPP business based on the above are put forward.The proposals for AIIB infrastructure PPP business development include eight aspects : focusing on capacity-building, and creating a good environment of political 、economic and institutional; improving service approval mechanism to meet the practical needs of developing countries; combining development-oriented and market-oriented principle and implementing classified management; deeply involved in the PPP projects and establishing a scientific risk monitoring and dispute settlement mechanisms; docking of supply and demand, to build a knowledge-based PPP service platform; optimizing the organization and coordination mechanism, fully integrating the advantages resources of the member States; moderately stringent, setting clear and flexible environment and social standards; opening and sharing, strengthening cooperation and exchanges with other multilateral development banks.In addition, the thesis builds the self-sustainment standards coefficient in order to distinguish the of suitability of PPP patterns for infrastructure projects, classified PPP project risks for multilateral development banks, built up a macro-micro-analysis framework of AIIB infrastructure PPP business competitiveness and raised measures and advice, hoping to provide some reference for AIIB infrastructure PPP business development.