PPP flop hammers home China’s crowding out crisis

Breakingviews on Twitter breakingviews.com breakingviews.com Search the Archive Thursday, 25 August 2016 Sign In Request Trial Home Columns Features Videos Books Calculators About Us Home Considered View PPP flop hammers home China’s crowding out crisis 25 August 2016 By Rachel Morarjee email Email Buildings are seen through smog behind an unfinished bridge near the Yujiapu financial centre, in Tianjin, China February 22, 2016. REUTERS/Jason Lee/File Photo - RTX2JKFC Public-private partnerships on projects worth $285 bln were supposed to help cut costs and ease local government debt. Yet over 90 percent of funding is coming from state firms, a new report has found. It hammers home the extent to which state capital is crowding out the private sector. This Views Flash will be followed shortly by a Considered View See more stories by Rachel Morarjee Buildings are seen through smog behind an unfinished bridge near the Yujiapu financial centre, in Tianjin, China February 22, 2016. REUTERS/Jason Lee/File Photo - RTX2JKFC Buildings are seen through smog behind an unfinished bridge near the Yujiapu financial centre, in Tianjin, China February 22, 2016. REUTERS/Jason Lee/File Photo - RTX2JKFC Subjects Asia-Pacific China Money & Markets Context News China's public-private partnership (PPP) projects are failing to attract private funding, according to a report published by North Square Blue Oak on Aug. 24. Only 30 percent of projects unveiled by the National Development and Reform Commission since March 2015 have signed up a nominally private partner, the report found. Over 90 percent of the funding into PPP projects is coming from state-owned firms, it added. Most Popular Glencore’s risk-taking culture dies hard Banks’ own bitcoin is in the gift of central banks Tesla’s big ambitions leave investors standing Microfinance leaves India’s banks in the dust Beauty of selfie-app IPO is only skin deep email Email Breakingviews on Twitter Privacy Policy Terms and Conditions © Thomson Reuters 2016. All rights reserved.