Study on Fund Raising Means for China's Railways

Abstract

The existing financing resources of construction fund for China s railways are presented in the first section of this paper. In the next section, The impacts and restrictions of the funding raising means were analyzed and a proposal of reforming the existing financing means was raised on the base of these analyses. The proposal included the following contents: construction funds for the railroads with different functions should be raised by using different financing means. The paper focused on means of fund raising for regional railway construction projects. It stated in detail how this kind of projects would attract social capital by relying on government supporting policies through the reform of the railway system. For instance, what kinds of projects are possible to attract direct international investments; what kind of projects can use BOT method and how to introduce it; what countermeasures should be taken for the deficit breach lines, etc.