The model in which the government cooperates with private enterprises to complete a certain project (referred to as PPP) can enable the government to obtain funds, and also allow social capital to enter the fields of public utilities such as electricity and railways  The problem in this model is that the government defaults or the investors default and cause economic losses to the other party  In previous PPP projects, government default was not a small probability event
Although local government defaults are not uncommon, investors are still actively investing in PPP projects
The PPP model is relatively complicated, and the negotiating ability and PPP professional ability of local governments are not as good as that of investors