Risks Of Domestic BOT Project Financing Mode

With the acceleration of China’s rapid economic growth and urbanization rate,infrastructure totally dependent on the state financial expenditure has been completelyunable to meet the requirements of economic development in our country,andInfrastructure projects always has long construction period, large investment and highrisk, the general mode of financing infrastructure can not meet the huge demand forfunds. Therefore, the timely introduction of appropriate new financing models willplay a role in fueling China’s economic development. Under this situation, domesticBOT project financing infrastructure is having more and more of our government andrelated investor’s attention. And compared with the traditional foreign BOT projectfinancing model，the domestic BOT project financing model has more advantages.With the field of infrastructure construction in China is gradually opening up toprivate capital, completely invested by the domestic private capital investment inBOT project financing model development project is also increasing. In thiscontext,this paper will study the domestic BOT project financing risk, Systemliyidentify the domestic BOT project financing process of the key risk factors,evaluation and disposed accordingly, Participants provide a reference for the parties toa domestic BOT project financing:The first chapter is Introduction, which describes the research background,topicbasis and the purpose and meaning of this article, determine the content and ideas ofthis paper. At first internal applications owned BOT project financing overallunderstanding; The second is to identify domestic BOT project financing risk factors;Third, the internal risk factors owned BOT project financing evaluation, identify keyrisk factors and sorting; Fourth, make the appropriate risk treatment recommendationsbased on the risk factors.The second chapter describes the development and present situation of BOT project financing mode in detail, compared the BOT project financing model betweendeveloped and developing countries and the differences of history and developmentbetween China’s and other countries. Part of the problem is analyzed the current modeof BOT project financing development.In Chapter III,the domestic BOT project financing investment risks areintroduced, the risks, part of the definition of domestic BOT project financing andproject financing are described. Focuses on the comparison with foreign BOT projectfinancing model, domestic BOT project financing in China’s development advantage.The fourth chapter is one of the core section of this article,which systemlyinruoduce the risk identification in domestic BOT project financing, focusing on riskidentification and the specific steps and methods to determine risk identification,make the conclusion that the general idea of a domestic BOT project financing riskidentification in the end of this chapter.The fifth chapter is another focus of this article, descripping the quantitativeevaluation of the risks associated methods in detail,then select AHP to identify thedomestic BOT project financing investment risk factors and quantified. Determine theweight sorting and selecting the most critical part of the risk factors.Chapter VI combines the results and conclusions of the foregoing, givesrecommendations of the disposition of the domestic BOT project financing risk, Andproposes measures to deal with risks. BP neural network model describes the conceptand applied to establish an early warning mechanism of risk.Chapter VII is the conclusion of this article, Summarizes the conclusions of thisstudy, and further research is needed in view of the existence of inadequate researchprocess and later elaborated.