Research On Financial Risk Management Of Education PPP Project Of Liangshan Zhongye Group

PPP model has been applied in China for a short time,but it's been developed rapidly.China has become the largest and the most influential PPP market around the world.Education industry has been a late introduction of the PPP model.And the lack of this research make it more important.Therefore,this paper studies the PPP project in the education industry,by taking Liangshan Zhongye Education PPP project as a case.It proposes to study the financial risk management of the PPP project from the perspective of the social capital,China Seventeen Metallurgical Group Corporation.Firstly,on the basis of literature research on financial risk management of PPP project at home and abroad and analysis of current situation of educational PPP project in China,this paper identifies possible financial risks and their influencing factors of educational PPP project by risk enumeration method.Secondly,after introducing the general situation of the case project,it identifies the financial risk of the project from four stages of project financing,investment,operation and income distribution.There may be financing risks in the financing stage,environmental protection risks and excessive government intervention,completion risks and organizational coordination risks in the investment stage,operating costs overruns,fee changes and fee payment risks in the operation stage,and contract documents conflict and imperfect and subjective risk in the income distribution stage.Thirdly,in order to evaluate the possibility of financial risk,the financial capability of the project is analyzed based on the financial estimation data of the case project.The project has a certain profitability,but the profitability of the project is not strong,and the risk of the project operation phase is relatively large.Through the analytic hierarchy process,the financial risk evaluation of the educational PPP project is obtained.It is considered that the financial risk in the financing stage and the investment stage is of great importance.The financing risk,the project approval risk and the third party default risk are the most important among all the risks.Then,the financial risk of the case project is analyzed by using the risk weight evaluation based on the fuzzy comprehensive method.The financial risk evaluation result of the whole project is 2.1243,which shows that the financial risk of the project is smaller.The possible financial risks include environmental protection risk,cost payment risk and charge change risk.The evaluation results rank in the top three and the risk is relatively high.Finally,the financial risk control method is proposed for the case project.This study can provide reference for the financial risk management of educational PPP project.