Total Investment for Public-private Partnership Projects Hits 11.8tn Yuan
The latest data from the Ministry of Finance indicates as of the end of July the value of total investment for the 7,867 projects in China’s national PPP project database was 11.8 trillion yuan.
A total of 3812 have been “signed and executed,”for an investment sum of 6.1 trillion yuan, while work has commenced on 1,762 projects, for an investment sum of 2.5 trillion yuan.
MOF has pushed for the standardisation of PPP projects since the second half of 2017, with the launch of unified standards for inclusion in the PPP database, the removal of “zombie” or non-compliant projects, as well as efforts to crackdown on widespread abuses.
A total of 2148 projects have been removed from the database involving investment worth around 2.5 trillion yuan.
MOF has also sought to standardise the participation of state-owned financial enterprises in PPP projects, as well as launched a PPP project fiscal expenditure responsibility and monitoring early warning system.
The ministry has worked with 18 other central government ministries and committees to advance a fourth batch of 396 PPP demonstration projects involving total investment of 758.8 billion yuan.
According to MOF the next step will be to “pragmatically strengthen risk prevention and control, continually optimise the development environment, and pragmatically employ the active role of the PPP model with regard to optimisation of resource allocation, stimulating market vitality, and expediting increases in the quality and efficiency of public services.”