Risk Aversion And Urban Infrastructure Construction In PPP Mode

The reformation of China is currently in the mid-depth stage, the government sets the real experiences of the reformation as the guide, combined with successful foreign experiences aims to build a "public-private partnership model" (PPP model) which identified as the primary task of China’s economic reforms, the establishment of the mode not only helps promote the new urbanization and the government’s self-management skills, but also helps building a modern financial system in different aspects. In current situation, build the public and private partnership could helps update and upgrade the investment and financing mechanism constantly, enlarge the investment areas, then to strengthen the internal impetus which driving economic growth, and to promote the fusion process of all kinds of capital and increasing economic efficiency The fundamental practice of the’public and private partnership’is not only to solve the government financing and the corresponding debts problems but also benefits in improving the relationships of the government, the market and the societyThis report would introduce and analyze the PPP model and its risks, in which emphasized on the position of the government as well as the reasons and the risks. Meanwhile, the report would conduct a detailed analysis from project selection, risk-sharing, role orientation, regulation and supervision of social capital in order to gives a clear characteristics and responsibilities to the government in the PPP model and reduces potential risks to keeps the project under a predictable, controllable and solvable situation. The report would analyses the problems, risks and the preventive measures of the PPP model through the theoretical knowledge, conducts positions of the candidates, the risk-sharing problems and etc. and carry out the suggestions from project-selection, risk-sharing and the policy guides aspects.recommendations functional responsibilities, policy guidance, supervision mechanisms.