China will vigorously promote public-private partnerships (PPP) in infrastructure and public services investments, said a government official on Wednesday.
About 1,043 projects have been unveiled since the launch of the PPP library, with estimated investments totaling 1.97 trillion yuan ($309.24 billion), said Lian Weiliang, deputy director of the National Development and Reform Commission (NDRC), at a media briefing.
The government will renovate investment financing mechanism by promoting equity cooperation and simplifying bond issuance process, and encourage private capital to take part in the construction and operation of public facilities, added Lian.
“We will accelerate price reform especially in the projects that may not profit as expected, and establish a fair price discovery mechanism where investors could have stable and reasonable return,” said Xu Kunlin, head of the NDRC’s fixed investment department.
The capability of local investment financing has dropped since last year for various reasons, therefore local authorities could support PPP projects with capital raised in bond issuance, said Xu.
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