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Investment and Financing Model and Risk Avoidance of Infrastructure Projects: In-depth Analysis by Professor Guo Wei

2024-08-15

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On the afternoon of March 11, 2024, Nanjing held an important meeting with the theme of "Project Expansion and Investment Model". The event was hosted by the Third Company of China Construction Eighth Engineering Bureau. The meeting focused on the main investment and financing models of infrastructure construction projects, project planning strategies, and how to effectively avoid hidden debt risks. As the keynote speaker of this meeting, Mr. Guo Wei provided in-depth and practical analysis to the participants with his profound industry experience and keen market insight.

Main investment and financing models for infrastructure projects

Infrastructure projects are large in scale and have long construction periods, so choosing the right investment and financing model is crucial. At the meeting, Mr. Guo Wei introduced in detail several major investment and financing models commonly used in current infrastructure projects:

PPP Model (Public-Private Partnership): The PPP model is a joint investment, construction and operation of infrastructure projects through cooperation between the government and social capital. This model can not only effectively reduce the government's financial pressure, but also introduce market-oriented management methods to improve the efficiency and operation quality of the project.

Industrial Fund Model: Establishing special industry funds, focusing on infrastructure construction in specific areas by gathering social capital. Mr. Guo Wei emphasized that the industry fund model can provide a long-term and stable source of funds, and improve the overall benefits of the project through professional management.