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Improvement and Promotion of PPP 2.0 Mode in FTA of Qianhai and Shekou in Shenzhen City (No 11, 2015)


By Zhao Fujun, Zhao Junchao& Xu Hongqiang

Research Team on "The Construction and Management Model of FTA in Shenzhen", Research Department of Foreign Economy, DRC

Research Reports, No 11, 2015 (Total NO. 4894) 2016-2-24

Abstract: Qianhai and Shekou are two free trade areas (FTA) in Shenzhen city, Guangdong province. Over the past few years, they have, through pilot practice and in a diversified manner, formed the PPP2.0(Public-Private-Partnership) mode of cooperation between the government and non-governmental capitalin the fields of public services, infrastructure, economic development, and projects relating to the One Belt and One Road initiative.But as regards the implementation of PPP 2.0 mode,it is difficult for the government and enterprises to reach a consensus on the common sharing of land appreciation income and the operation and management of free trade areas are separated.Efforts should be made to forman integrated FTA enterprise group composed of Qianhai Administration Bureau, China International Marine Containers Group Ltd. (CIMC), Western United Logistics and China Merchants Group to be in charge of the construction and operation of Qianhai and Shekou free trade areas, to push forwardthe improvement of PPP2.0 mode, as well asthe reform of administrative management system and administration streamlining and power delegation to lower levels in the two free trade areasthrough this mode. In addition, the government should energetically support enterprises in Shenzhen to apply the mode of PPP2.0 in countries and regions along the "One Belt and One Road" andmakeinvestment and construct free trade areas and industrial parks in these countries and regions.

Key words:One Belt and One Road initiative, PPP 2.0 mode, free trade areasin Qianhai and Shekou of Shenzhen city