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Pingnan companies jointly establish investment platform

( chinadaily.com.cn )

Updated: 2015-07-09

Pingnan's largest State-owned investment and financing platform – Zhijin Development Co – opened on June 3. It marks Pingnan’s reformed management of State-run assets, said the company's CEO You Chuanjin.

Pingnan has searched for solutions to improve financing capability.

This year, Pingnan plans to develop more than 30 key projects, ranging from urban construction and industrial development to protection of historical and cultural towns, with an investment of over 10 billion yuan ($1.61 billion). More than 3 billion yuan will be invested in the projects in 2015, as planned.

However, public fiscal revenue in Pingnan amounted to 450 million yuan in 2014. So Pingnan was confronted with a capital shortage, and had to search for new financing channels.

In Pingnan, the national assets in enterprises and administrative institutions are estimated to be worth 1 billion yuan.

Hence, six Pingnan companies set up Zhijin Development Co together. The new company will be involved in investment, real estate development, construction and management of urban infrastructure.

"We are negotiating with banks. I believe that State-owned assets will alleviate financial stress, once asset integration goes well," You told reporters, adding that the company will also join in project construction.