Research On Risk Management Of Assets Securitization In PPP Projects

With the development of China's economy,the problem of insufficient infrastructure investment in our country has gradually begun to show.The lack of funds,high financing costs,and a single financing route have become an important factor restricting the development of China's infrastructure.Due to the uncertainty of the income from investment projects,high-quality projects Less,lowering the willingness to invest in social capital,to a certain extent,has become a bottleneck restricting China's rapid economic growth.How to widen channels to raise funds and broaden the financing channels for China's infrastructure projects has become a common concern.The asset securitization financing plays a major role in remedying the huge gap in funding for infrastructure investment.How to implement the asset securitization of PPP projects has become our focus.Asset securitization is one of the most significant and fastest-growing financial innovations in the world's financial sector in the past 30 years.Many scholars have conducted research on this,and have made corresponding recommendations on the selection of basic assets and risk aversion..Compared with other investment projects,PPP projects generally have low returns,large investment scales,and long investment terms,but cash flow income is relatively stable.From the perspective of sponsoring institutions in social capital,the asset securitization of PPP projects can realize the cash flow income rights generated in the future of PPP projects in advance,which will help social enterprises to broaden their financing channels,reduce their financing costs,and increase project revenue.Turnover rate;from the perspective of social capital investment institutions,asset securitization of PPP projects can increase their investment channels,and can be listed on the traditional projects or transfer of equity to exit projects can be transferred through the transfer of securities to exit,to some extent can be shortened The investment cycle makes it possible for social capital to benefit from certain risks when participating in PPP projects and enhance its continuous investment capability.However,compared with traditional financing methods,PPP project asset securitization financing has many features such as large number of participants,complicated transaction process,and numerous follow-up uncertainties.As a result,it has brought many risks,among which the risk arising from financing is also due to its business.The particularity of the process shows a certain specialization.Because the financing risks brought about by the special nature of PPP project asset securitization business are not completely the same as the general corporate financing risks,there are relatively few discussions among industry scholars on the management of the financing risk of asset securitization of PPP projects.Therefore,after understanding the theory of asset securitization process and financing risks,this paper will study how to apply the asset securitization model to PPP projects,and use the P tram project of company A in B city as a case to initiate the PPP project.From the starting point,a pool of asset securitization assets will be set up to make predictions on the ticket revenue and cash income during the future operation period,and to explore possible situations and risks in the process of asset securitization of PPP projects,and to propose relevant countermeasures.Solve the current PPP model and asset securitization problems encountered in the development of China to provide reference.This paper mainly adopts the case study method and the literature research method,through reading a large number of documents and research reports,to deeply understand the PPP project asset securitization model,and combining the case analysis,hoping to play a role in the further advancement of PPP project asset securitization research.