The Research On Risk Management Of Local Government Investment And Financing Platform

The local government investment and financing platform is the product of socialism with Chinese characteristics in the new era.It has developed vigorously under the national "4 trillion" monetary stimulus policy,and made great contributions to China's successful avoidance of the global financial crisis.At the same time,as the main channel for local government investment and financing,it has also played a positive role in promoting the development of China's urban economy.However,due to imperfect relevant policies and irregular management systems,a large number of problems have been formed,leading to the gradually exposed risks of local government investment and financing platforms.The "Government Investment Regulations"(Guo Ling[2019]No.712)was promulgated in May 2019 and will be implemented in the second half of the year.It further upgrades and restricts relevant measures based on current actual conditions for local government investment management.With the acceleration of the urbanization process and the overall tightening of national policies,the establishment of a complete risk prevention and control system to ensure the standard and orderly operation of local government investment and financing platforms is of great significance to the stable and sustainable development of China's economy and the construction of social harmony.This topic focuses on exploring and analyzing the risks of local government investment and financing platforms,analyzes and discusses the current status of risks through risk performance forms and risk causes,and through the national policy environment,regional economic environment,platform financial benefits,and sustainable bond guarantee capabilities.This paper analyzes the factors that affect the risk.Taking H City Urban Construction Investment as an empirical object,it conducted an in-depth analysis and comprehensive risk assessment of H City Urban Construction Investment's basic situation,national policy environment,industry development environment,and company's ability to guarantee bonds.On this basis,the analytic hierarchy process was used to construct its evaluation index system,and the comprehensive fuzzy evaluation method was used to calculate the score of the risk assessment result,and the risk rating was finally obtained as "basic safety".At the same time,focusing on risk identification and risk management and control,and put forward corresponding opinions on how to reduce the risk of low-point indicators and how to improve the risk management level of high-point indicators,mainly including:improving relevant laws and policies,transforming the supervision function of state-owned assets mainly by managing capital,tightening budgetary constraints on local governments,local governments improve the financial environment,improveing the corporate governance structure,broadening the financing methods of the platform,standardizing platform financial transparency operation,improving operation and growth capacity,forming diversified financing channels.