Ppp(Public-Private Partnership) is also a mode of cooperation between government and social capital, aiming at providing public goods. This mode of cooperation is regarded as a very important means to resolve local government debt risks and reduce financial pressure. Previously, the Ministry of Finance, together with ten institutions including China Construction Bank and China Life Insurance, initiated the establishment of ppp fund, with a fund scale of 654.38+08 billion yuan, which played a great role in boosting the construction of various industries in various places. ()

20 16 government work report pointed out that we should continue to raise construction funds in a market-oriented way, improve the cooperation mode between the government and social capital, that is, ppp, and fully stimulate the enthusiasm of social capital participation.

Operation mode of ppp fund

Simply put, the operation mode of ppp funds can be divided into three types:

1, government+financial institution model

The operation mode of this ppp fund is generally that provincial governments and large financial institutions cooperate to set up parent funds, and then all localities declare projects. After the audit of financial institutions, the parent fund is given priority, and the local finance is worse. The general leverage ratio is 1: 4. The main feature of this mode of operation is that local governments will bear major risks if they do not do well.

2, financial institutions+local state-owned enterprises model

This mode of operation is generally that financial institutions do LP first, local state-owned enterprises or platform companies do LP second, and equity investment managers designated by financial institutions do GP. Obviously, this model is dominated by financial institutions.

3. Enterprise spontaneous formation mode

Generally, such enterprises have strong strength and strong management and operation capabilities. The purpose of this business model is to connect enterprises with the government and participate in government-led projects. The specific process is that enterprises cooperate with other funds to set up industrial funds, and then cooperate with local governments or local state-owned enterprises to set up industrial investment funds in the form of limited partnerships. Industrial investment funds raise capital and invest in the project company in the form of equity. The project company and the owner (government) sign the corresponding financial subsidy agreement, stipulate the project return method, and the local government will pay the relevant funds and provide guarantee measures according to the agreement.