A Study On Slums Upgrading Supported By Development Finance In Chinese Resource-exhausted Cities

With the publication of some opinions of the state council on promoting thesustainable development of resource exhausted cities, the central government reinforcedfinancial transfer payment, which brought new historical opportunities for thedevelopment and transformation of resource exhausted cities. Albeit led to initial success,the ability to maintain sustainable development remains to be enhanced, as well as somehistorical problems regarding slums upgrading unsolved. The current policy falls short inproviding long term financing mechanisms for resource exhausted cities’ slumsupgrading. Particularly, lack of incentives for commercial banks and capital markets tostep in has limited the financial availability of slums upgrading, rendering a bottle neckfor further development.This study bases on the characteristics of resource exhausted cities and developmentfinance, analyses the difficulties and obstacles of slums upgrading of those cities in afinancial dimension, and tries to incorporate development finance and slums upgrading inlight of the features of development finance and previous practices.It proves slumsupgrading by the development finance with the PPP mode is suitable.this paperexpounds in detail and the operation mode.Slums upgrading supported by development finance with the PPP mode is effectiveand feasible way，which gives full play to their respective competitive financing andproject management experience.