The Perfection And Application Of The Asset Securitization Financing Of Highway PPP Project

The Public-Private-Partnership(PPP)means that the government cooperates with social capital,which has become the main mode of infrastructure construction in our country.It greatly improves the public service level.In the past,project financing in PPP mode relied on equity financing and debt financing mainly based on bank loans.These traditional financing methods gradually showed many drawbacks.Asset securitization,due to its activation of stock assets,risk isolation,financing period and project duration matching and other functions,is more and more used in PPP project financing,especially PPP project operation period financing.This paper first analyzes the application status of asset securitization in PPP projects.Based on the characteristics of asset securitization products issued in China,the paper further analyzes the advantages of asset securitization financing in PPP projects in terms of financing risk,financing cost and financing efficiency.As the highway PPP project ranks first in the PPP project database of the Ministry of Finance and the average investment amount of a single project is in the first place,the financing needs are large.Therefore,the highway PPP project is selected for asset securitization application research.The idea of perfecting the asset securitization scheme design of highway PPP project is as follows: First,we predict the duration of PPP projects through Monte Carlo simulation according to the pre-project operating data and the traffic flow of freeway in the area near the normal fluctuation range of parameters annual cash flow.Then,the main risk factors of expressway PPP project are identified.Through literature research,the main risk factors of highway operation are traffic flow reduction,operating cost increase and interest rate increase.And we analyze the fluctuations of cash flow in face of the change of parameters,that is,cash flow sensitivity analysis.Finally,we improve the terms of the design according to fluctuations in the reasonable sharing of risks.In the design of asset securitization scheme of PPP project,the scope of basic assets that bring cash flow should be rationally determined,credit enhancement measures should be adopted as appropriate to reduce financing costs,the debt service plan should be arranged reasonably,the minimum income guarantee mechanism should be set up if necessary.It is important to make the future cash flow more stable,especially to avoid cash flow risk that causes unpaid.