Financing Risk Management Of Infrastructure Projects Under PPP Mode

Chinese thirteen Five-Year Plan states: "to further relax the restrictions on market access in the areas of infrastructure and public utilities,government will franchise and purchase services,such as Public-private partnership,and encourage social capital to participate in investment in construction and operation." PPP mode is an important way of Chinese comprehensive deepening reform and transformation of government functions.At present,many parts of the country have begun to experiment and operate PPP projects,various government agencies are vigorously exploring PPP mode,and PPP mode has become the new focus of the current society.PPP mode has its own particularities,there will be many uncertainties in a number of political,legal,financing,construction,and operation.The financing is a necessary part of PPP projects,which directly determines the start and ensure funding of the project,affecting the implementation and success of the project.Therefore,the strengthening of these aspects of risk prevention and management is the focus of the work carried out smoothly in PPP project financing,as well as provide a basis for decision makers.On the basis of literature research,in order to narrow the PPP mode as the focus,the author will systematically research infrastructure project financing risk.The main contents are: Starting from the meaning and features of PPP mode,describing the basic structure and operation of PPP mode,as well as some theories of project risk management.At the stage of PPP project financing risk identification,using the traditional risk identification method to identify the main risk factors of PPP project,and describing the characteristics of various risks.Then,using the risk impact matrix to systematically assess the major risks of PPP project.Combining with project risk-allocation principles,assigning different types of risk reasonably,preliminary results of risk-allocation framework.On the basis of a clear government departments and the private sector on a risk-allocation;making specific coping strategies financing risks,applying dynamic integrated risk management system to monitor and control the risks ofPPP project.Finally,analyzing a specific case,and making a appropriate assessment and future prospects in the end of the paper.The results of this study are helpful for the PPP project participants to strengthen the management of project financing risks,The main research results of this paper are to use Delphi method to identify the financing risk of infrastructure project under PPP mode,to form a complete set of project financing risk system,to use the risk-impact matrix method to assess risk,on this basis,to put forward the corresponding risk coping strategies.The results of the research are beneficial to the PPP project participants to strengthen the project financing risk management,which provides reference for risk prevention and control.