Determining Critical Success Factors for Public–Private Partnership Asset-Backed Securitization: A Structural Equation Modeling Approach

Public–private partnership (PPP) has been widely applied in China and many developing countries the recent decade. As new PPP projects gradually enter operational phase, issue of refinancing becomes increasingly important. PPP–ABS plays an indispensable role project refinancing. The factors that promote success emerging financial market need to be determined. To accomplish two objectives, namely, identify critical (CSFs) explore relationship between these asset-backed securitization (PPP–ABS) this research, methods such as a questionnaire survey structural equation modeling (SEM) were conducted successively. Four factors, including underlying asset quality (UAQ), original equity holder credit (OEHC), rationality security design (RoSD) maturity relative institutions (MoRI), identified study. Consequently, nineteen theoretical hypotheses developed tested. It is shown SEM approach UAQ OEHC positively influence PPP–ABS, alongside issuance characteristics (IC) mediate UAQ, RoSD MoRI, respectively. This finding increased knowledge how investors government can benefit from it.