Abstract

Since the reform and opening up, with the gradual advancement of China’s economic system reform, China’s investment and financing system has been adjusted and reformed. With the advancement of investment commercialization, the growing investment sector that is increasingly visible to major players in the private capital market is expanding. Private capital is playing an increasingly important role in China’s economic development. Due to various reasons such as history and geography, the growth rate of private capital investment in Shaanxi Province, which is located on the bridge in the northwest, is significantly behind the eastern coastal provinces. Therefore, it compared the factors affecting private investment in Shaanxi Province and coastal provinces, sought out the gap in the development of private investment in the two provinces, and formulated measures to stimulate private investment enthusiasm in Shaanxi Province. It is not only the urgent need of Shaanxi’s economic development, but also the urgent need of our country. East and West need to develop in a balanced way. On this basis, this article selects Shaanxi and Zhejiang provinces for comparative analysis. Western private investment developed earlier and contained more theories, so this article first combed the theories related to Western private investment, and then briefly reviewed the development of private investment theory since the founding of the People’s Republic of China. Secondly, benchmark and analyze the private investment in the two provinces from three aspects: one is to benchmark and analyze the status quo of private investment in the two provinces. Compare the factors that affect investment. Finally, by consolidating the foundation of private investment development, encouraging private investment to participate in the urbanization of Shaanxi, establishing a diversified modern financial system, creating software and hardware suitable for private investment development, and relaxing investment fields to implement a fair market access system. Made policy recommendations. Through the research of this article, it is estimated that the economic growth rate of Shaanxi will reach 13%.

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