BEIJING, Jan. 15 (Xinhua) -- China will spread public-private partnerships (PPP) in countries participating in the Belt and Road Initiative, an infrastructure and trade network connecting Asia with Europe and Africa along ancient trade routes, a senior official has said.
He Lifeng, deputy head of National Development and Reform Commission (NDRC), made the remarks Saturday at the 15th China Enterprise Development Forum.
The NDRC, China's top economic planner, and several other departments, have come up with a working mechanism to boost the PPP model in countries along the routes, according to He, without providing further details.
He said the PPP model would help facilitate the progress of projects as it broadens financing channels for companies.
Innovative financing models are necessary since some projects under the Belt and Road Initiative require large investments with long payback periods, He said.
PPPs have existed in China since the 1980s, but the adoption of the financing mode had been slow until China released two PPP guidelines in 2016.
In China, PPP project operators are encouraged to directly solicit money from the capital market, and social security funds and insurance premiums are allowed to invest in these projects.
The Belt and Road Initiative, also known as the Silk Road Economic Belt and the 21st Century Maritime Silk Road, was put forward by China in 2016.
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