Research On The Application Of Auditing In Local Government Debt Risk Prevention And Control

The2013annual planning department launched a nationwide third government debt audit work. From the audit situation, local government borrowing to compensate for the lack of local financial resources to deal with the crisis, and the fight against natural disasters, improve people’s livelihood and ecological environment protection, promoting the sustainable development of local economy, has played a positive role. At the same time, with the continuous expansion of the scale of local government debt, the existing problems are also increasingly prominent, such as debt, capital management, lack of complex mechanism of pay system is not perfect. These issues triggered by the local government debt risk is also increasing, once the risk is no longer out of control, but the debt risk, financial risk and social risk, will blow to the social and economic development, and even cause disastrous harm. Therefore, the prevention and control of local government debt risk of concern, and an invaluable role in the development of audit. In the new situation, to enhance the application of audit in risk prevention, is conducive to resolving the debt crisis and safeguard the interests of the collective.In this paper, based on understanding the local government debt audit scope and function, the audit theory and local government debt theory as the foundation, the application of audit risk prevention and control of local government debt in the analysis of two aspects including the application status and application status of domestic and abroad. Early warning mode application audit of the United States, Japan, the introduction of CPA audit, Australia and budget execution audit combined, provide application in China audit in risk prevention and control of local government debt to the foreign experience, a good reference. At present, the audit application in risk prevention and control of local government debt in China mainly through the history of debt audit, audit, audit and tracking to cross examination combined with other ways of debt financing. Secondly, in the W case analysis, combined with the basic situation of W city government debt audit,to find W the current audit risk prevention and control in government debt problems. W, combined with their own actual situation, to strengthen the local government debt risk control by means of audit, specific measures and suggestions are given to improve the application of audit risk prevention and control in municipal government debt in W. Finally, the conclusion and Prospect of the study on the prevention and control of the application, the audit is essential for local government debt risk, only give full play to the early warning function, audit defense function, supervision function, innovation system, implement the audit methods and audit key contents, improve the professional quality of auditors, audit and create warning linkage mechanism, to local government debt risk prevention more effective.