| Description |
1 online resource (30 pages) : illustrations |
| Series |
WP/16/187 |
|
IMF working paper ; WP/16/187.
|
| Contents |
Cover; Contents; I. Introduction; II. Background; A. Why are LGFVs a Fiscal Issue?; B. How do LGFVs Work?; C. What is the Link between LGFVs and PPPs?; III. Policy Response and Issues; A. Policy Response; B. Issues with the New Measures; IV. International Best Practices on PPPs Regulation and Implications for China; A. Good Project Selection; B. Good Institutional Framework; C. Good Laws; D. Good Accounting and Reporting; V.A Strategy to Establish a PPP Regulatory Framework in China; VI. Concluding Remarks; References; Tables |
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1. Selected PPP Regulatory Documents Issued by the Chinese Government Since 20132. Comparison of Three Framework Regulatory Documents Issued by the Chinese Government on Public-Private Partnerships with International Best Practice; 3. A Potential Gateway Process for China; Figures; 1. Government Managed-fund Income from Land Usage Right Transfer in China; 2. Local Government Financing Vehicle as the Project Contractor; 3. Local Government Financing Vehicle as the Project Owner; Appendixes; 1. Examples of Local Government Financing Vehicles in China; 2. A Primer on PPPs |
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3. International Public Sector Accounting Standard 32 (IPSAS 32)4. IMF Proposal of Disclosure Requirements for PPPs and Guarantees; Appendix Figures; 1. Traditional Public Procurement versus Public-Private Partnership; 2. NPV: Government Procurement versus PPP; 3. IPSAS 32 Illustrative Examples |
| Summary |
In this paper, we argue that there is much room for China to strengthen its regulatory framework for public-private partnerships (PPPs). We show that infrastructure projects carried out through local government financing vehicles (LGFVs) were largely unregulated PPPs, and significant fiscal risks have already manifested themselves. While PPPs can potentially provide efficiency gains, they can also be used by governments to circumvent budgetary borrowing constraints. Therefore, effective PPP regulation is key to delivering PPPs' benefits while containing their potential fiscal risks. The authorities have taken concrete steps in order to establish a sound regulatory framework and foster a new generation of PPPs. However, to make the framework effective, we highlight a few issues to be resolved. Based on international best practice, we propose a four-pillar regulatory framework for China, which could be implemented gradually in three stages |
| Bibliography |
Includes bibliographical references |
| Notes |
Print version record |
| Subject |
Transportation -- China -- Finance
|
|
Transportation -- Finance
|
|
China
|
| Form |
Electronic book
|
| ISBN |
1475537832 |
|
1475536763 |
|
9781475536768 |
|
9781475537833 |
|
