Private Capital for Railway Development

Lawrence, Martha ; Ollivier, Gerald

World Bank, Washington, DC

关键词: AMOUNT OF DEBT;    AUCTIONS;    BALANCE SHEET;    BANK INVESTORS;    BANK OFFICE;   

RP-ID  :  90117

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

China is considering ways to attractadditional capital to finance investment in railways.Worldwide, private capital has been attracted to the railwaysector through a range of mechanisms including: (i) privatesector provision of specific rail services or assets such asrolling stock; (ii) public private partnerships; (iii)leveraging commercial value of rail assets and increasedland value around stations; and (iv) debt and equityfinancing of railway companies. Private sector investorsseek to earn a return on investment that is commensuratewith the risk of the investment. Therefore one will beattracted to profitable opportunities with manageable risk.Steps China can take to attract private capital for railwaydevelopment include: (i) creating a policy and legalenvironment that protects the interests of different typesof investors in the railway sector; (ii) identifying andcreating profitable railway markets and entities that aresuitable for private sector investment; (iii) managing theperception of risk in railway activities and assets; (iv)promoting asset sharing opportunities; and (v) expandingpublic private partnerships (PPPs) in rail assets and services.