Core Viewpoint - The State Council has issued guidelines to regulate the construction and operation of existing government and social capital cooperation (PPP) projects, emphasizing the need for efficiency and improved public services [1][4]. Group 1: Project Management and Implementation - Local governments are required to prioritize projects based on economic and social development needs, project nature, and financial conditions, focusing on those with better returns [4]. - By the end of 2024, PPP projects that have not started construction will generally not be allowed to adopt this model [4]. - Financial institutions must support ongoing projects in a market-oriented and lawful manner, ensuring timely disbursement of funds for projects with signed loan agreements, and establishing reasonable credit conditions for those without agreements [4]. Group 2: Compliance and Financial Management - Local governments must fulfill contractual obligations and include government expenditure responsibilities in budget management, ensuring timely payments without delays [4]. - Social capital partners are required to provide public services that meet standards as per the contract [4]. - The guidelines encourage collaboration among social capital, financial institutions, and government to optimize operational costs and improve service efficiency [4]. Group 3: Policy Support and Financial Resources - Local governments can utilize general and special bonds to support eligible ongoing PPP projects and must ensure that operational subsidies for existing projects are included in budget management [5]. - It is essential to manage local government debt strictly and ensure that bond issuance adheres to legal limits to maintain fiscal sustainability [5]. - The guidelines stress the importance of financial discipline and oversight to effectively manage public funds and mitigate risks [5].