BRICS countries successful in promoting PPP model

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BRICS countries have been successful in promoting the Public-Private Partnership (PPP) model and have made positive progress, according to Shi Yaobin, China’s Vice Minister of Finance.

To promote the PPP model, BRICS countries set up regulatory and institutional frameworks, developed demonstration projects and provided financial support.

According to Shi, this model sets a good foundation for further opportunities among the five countries.

In terms of preventing systematic risks, Shi told CGTN that China is deliberately thinking about ways to push for PPP development in a regulated way, and China will fully implement it in daily work.

Press conference by China's vice finance minister Shi Yaobin in China's southeastern city of Xiamen, September 3, 2017. /CGTN Photo

BRICS countries believe the PPP to be an innovative way to bridge the infrastructure investment gap. Government financing can be limited in funding infrastructure projects and the PPP helps the funding problem by providing help from the private sector.

Shi mentioned that though some BRICS economies experienced low periods, they will maintain sustainable economic growth in the future.

“China’s economic growth reached 6.9 percent, better than estimates. For India, it might exceed seven percent this year.” For Russia, Brazil and South Africa, they have all been making positive progress from the lowest points they performed.

"Now they are posting positive growth rates, and the growth momentum will continue," said Shi.

Shi cited the New Development Bank (NDB), set up by the BRICS, as a major platform for BRICS countries to strengthen pragmatic cooperation and enhance understanding.

He said there have been 11 projects approved under the NDB and three billion US dollars have already been distributed to these projects.

The projects are in the fields of new energy, clean resources and low-carbonated environment. Projects in China include a wind power project in Fujian Province, which is set to become a model for projects in the future.

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