Core Viewpoint - The issuance of new special bonds has accelerated significantly in early 2023, with a focus on early issuance and utilization to stimulate effective investment [1][2][3] Group 1: Issuance Data - On February 28, the single-day issuance of new special bonds reached 88 billion yuan, accounting for over 20% of the total issuance for the month [1][2] - In the first two months of 2023, a total of 877.5 billion yuan in new special bonds was issued, representing 60.1% of the early allocated quota of 1.46 trillion yuan [2] - The provinces with the highest issuance of new special bonds include Shandong, Guangdong, and Sichuan [2] Group 2: Investment Focus - The primary focus of the issued funds is on infrastructure projects, particularly in transportation and municipal industrial park construction, with significant allocations also directed towards agriculture, forestry, water conservancy, and ecological protection [2] - Nearly 29% of the funds allocated to infrastructure in the first two months were directed towards transportation infrastructure, 39% towards municipal and park infrastructure, and 25% towards agriculture, forestry, water conservancy, and ecological protection [2] Group 3: Future Outlook - The pace of special bond issuance is expected to continue accelerating, with projections indicating that over 90% of the early allocated quota will be issued in the first quarter of 2023 [3] - The Ministry of Finance emphasizes the importance of supporting key project construction through the reasonable arrangement of local government special bonds [3]

Core Insights - The number of PPP projects in China is steadily increasing as the domestic COVID-19 situation improves, with a total of 7,093 projects recorded and a total investment of 20.42 trillion yuan [1][2] - The PPP model is seen as an effective way for local governments to develop infrastructure and public service projects without increasing their debt burden, while also attracting social capital [1][4] Group 1: Project Distribution - The top five provinces by project count are Guizhou (525 projects, 744.4 billion yuan), Guangdong (505 projects, 490.9 billion yuan), Anhui (492 projects, 464.8 billion yuan), Shandong (457 projects, 349 billion yuan), and Zhejiang (454 projects, 852.3 billion yuan), accounting for 34% of total projects and 14% of total investment [2] - The leading sectors for PPP projects include urban infrastructure (2,817 projects, 42.028 trillion yuan), agriculture, forestry, and water conservancy (893 projects, 11.8188 trillion yuan), social undertakings (819 projects, 588.3 billion yuan), transportation (771 projects, 21.539 trillion yuan), and environmental protection (757 projects, 38.09 billion yuan), which together represent 85% of total projects and 94% of total investment [2] Group 2: Investment and Policy Recommendations - The PPP model is recognized as a stabilizing factor in investment, particularly in balancing government debt pressure and encouraging private capital participation [2][3] - To better attract private investment in major projects, three key areas need to be addressed: improving and stabilizing the policy environment, increasing financing support, and enhancing information disclosure [3][4] - The government should actively promote high-quality projects to private enterprises, provide policy incentives for capital tools like special bonds and asset-backed securities, and ensure comprehensive financial support from banks for capable private enterprises [4]