Study on the Innovation of Financing Mechanism of Private Higher Education in China

Shortage in funding, which restricts the survival and development of the private higher education institution, has become the bottleneck for the healthy advancement of the private higher education. Based on the analysis on both internal and external factors, this paper tries to dig out the reasons for the difficulty of financing in private school which provides higher education. In order to innovate the financing mechanism of private higher education, corresponding measures are put forward, which include improving the quality in education, intensifying financial support from the government, encouraging loans from the bank and building financing platform for the capital market.