Study on Applications of Off-Balance-Sheet Financing to PPP Projects
In PPP (public-private partnership) projects, project sponsors usually try their best to arrange off-balance-sheet financing in order to avoid the impact of project debts on their creditworthiness. As off-balance-sheet financing may be abused to make cosmetic effect on sponsors’ financial statement, accounting rules have been amended to make restrictions on its application after the Enron scandal. The restrictions made it difficult to achieve off-balance-sheet financing. Thus, this paper studied the application of off-balance-sheet financing to PPP projects at two levels: at the special purpose entity (SPE) level and at the inter-corporation level. At the SPE level, it suggested to use operating leases. At the inter-corporation level, it proposed to achieve off-balance-sheet financing through introducing trust funds in the form of equity. The findings of this study would be helpful for project sponsors to achieve off-balance sheet financing in PPP projects.
off-balance-sheet financing consolidation project financing public-private partnership
YE Sudong WANG Mofei
School of Economics and Management,Beijing Jiaotong University, Beijing, China 10004 School of Economics and Management, Beijing Jiaotong University, Beijing China 10004
国际会议
2009 International Conference on Construction & Real Estate Management(2009建设与房地产管理国际会议)
北京
英文
81-84
2009-11-05（万方平台首次上网日期，不代表论文的发表时间）