Study On Financial Risk Identification And Countermeasure Of Overseas EPC Projects Of A Company

With the implementation of the “One Belt And One Road” strategy of the country,Chinese enterprises have welcomed the new opportunity of “going global”.The unfamiliar international market environment as well as the problems such as international practices and international rules will pose significant risks to the implementation of overseas projects.From the perspective of the engineering contractor,combined with the overseas EPC project prophase evaluation,bidding and contract signing,project implementation,and project completion final accounts process.The dissertation identifies,analyzes,responds,and controls the financial risks,in order to improve the economic benefits of overseas EPC project.The dissertation adopts the literature research method to collect and collate the research achievements of domestic and foreign scholars on the financial risk control of overseas EPC projects,as the theoretical basis for this research.By using the questionnaire survey to identify the types of financial risks,collect the qualitative evaluation of the experts on the financial risk,and provide the basic data for the later analysis.By using AHP,the importance of financial risk factors is sorted,and the three important risk points that cause financial risk are found,namely,capital recovery risk,cost control risk and financing risk.The dissertation points out that the risk of capital recovery needs to be controlled by the feasibility study in advance,the progress payment control in the matter,and the subsequent untimely collection.To prevent cost control risk,you should set a scientific cost control target,and then control the risk according to the cost control target and the fund use plan.Prevent financing risk should be timely communication with export credit insurance company and loan bank,confirmed that guarantee the conditions in advance,and to ensure that project smoothly through the performance assessment,but also to strengthen the risk control of exchange rate and interest rate.The above conclusions provide the decision basis for the company to undertake the financial risk control of overseas EPC projects.