Analysis And Research On PPP Financing Of LR Expressway Project

Under the background of the "new normal" of Chinese economy and the high government debt ratio,as a new way of social capital investment,PPP model not only can innovate the transformation mode of local government financing platform,but also effectively reduces the government pressure.And reduce the risk of investment and financing,promote investors,the public and government departments to form a win-win situation.In order to develop the local economy,the Dingxi Municipal Government has continuously strengthened the construction of infrastructure,but due to the lack of local financial funds,it is difficult to meet the full funding needs of the infrastructure.Therefore,select the LR highway project with franchising authority to finance the PPP project,through the introduction of social capital to participate in the project financing,effective improvement of local traffic conditions,for the local people to get rid of poverty and increase income through the traffic line.In fact,the promotion of PPP financing model by local governments in the field of public services is an important reform measure to create a new point of economic growth,which can promote the transformation of local governments from functional government to service-oriented government,and enhance the vitality of market construction.It is of great significance for poverty alleviation and income increase and improvement of local infrastructure construction in poverty-stricken areas.On the basis of combing domestic and foreign relevant literature and PPP theory,this paper takes LR highway project as the object,and discusses and analyzes the financing of PPP.Firstly,the paper analyzes the structure,operation mechanism,return and income distribution mechanism,project supervision mechanism of LR highway project PPP financing,and then evaluates the capital flow,government affordability and value for money in the project financing process.In order to further promote the orderly implementation of PPP financing for the LR Expressway Project,This paper analyzes the obstacles that may exist in the process of project financing,such as lack of regulation of financing system,conflict of interest between government and social capital,multiple risks faced by project financing,and so on.And put forward some guarantee measures to promote the smooth implementation of LR highway project PPP financing,such as perfecting the construction of PPP project financing system,clarifying the benefit mechanism of the government and social capital,perfecting the financing risk prevention and emergency mechanism,and so on.Through the research in this paper,we hope to provide some reference and basis for the PPP financing model and financing mechanism of the similar public project construction.