Market Potential

Unprecedented socio-economic forces are powering dynamic growth and important changes in Sing Kung’s market – municipal infrastructure development in the PRC. Diverse sources and Sing Kung’s own analysis indicate that the next 20 years will see acceleration of China’s urbanization trends, and further concentration of its fixed investment in urban areas. During that time, urban populations in China are expected to swell by an incremental 350 million, more than the total current population of the United States. By 2030, the China demographic map is expected to have the following characteristics:

·1 billion people will live in urban areas.
·221 cities will have more than one million inhabitants (Europe has 35 today) of which 23 cities will have more than 5 million inhabitants.
·5 billion square meters of roads will be constructed.
·5 million urban buildings will be constructed with 40 billion square meters of floor space.

This wave of urban population increase is expected to be dominated by the migration of more than 240 million people into existing urban centers in the next 20-year period, almost double the migration rate of the last two decades. This means that China’s 661 city governments, roughly 2,800 county level government units and approximately 1,875 provincial industrial parks and special development zones will have to plan more carefully for greater density, implement more robust infrastructure, and learn about new methods of financing their growth.

Consequently the cost and complexity of urban development is rapidly rising for city and provincial governments, stretching already limited municipal resources. Management projects expenditure of US$ 700+ billion in the next 5 years on basic infrastructure to support new cities, expand existing urban areas and redevelop failing of overburdened systems. This situation is particularly acute for smaller and mid-sized government entities, many of which are simultaneously struggling to finance the increased level of services required by growing migrant populations and lack the depth of technical and management resources to handle the range of city development issues facing them.

Target Projects

From a universe of roughly 5,300 local governments, we selected the ones with the strongest economic potentials but limited financial resources to work with:

·Providing comprehensive urban planning services from urban layout, socioeconomic analysis to land resources management strategy;
·Financing & implementing development plans;