Research On The Path Selection And Effect Of "Deleveraging" In Iron And Steel Enterprises

According to the report of the 19 th National Congress of the Communist Party of China,the main task of risk control in China is to deleverage from 2016 to the future.After the state formally proposed the main task of "deleveraging",the major iron and steel industries quickly changed their thinking,took this problem seriously,and urgently held major meetings to promote the project process.Major iron and steel enterprises have put forward various solutions.After repeated discussion and confirmation by the leadership,they all began to implement their own solutions for deleveraging.At the same time,in order to help iron and steel enterprises tide over the difficulties and keep the national economic artery,the Chinese government has decisively issued various policy documents to help enterprises successfully implement various plans.Banks and other financial institutions are also trying to cooperate with enterprises to deleverage.Naturally,each scheme has advantages and disadvantages.Practice has proved that the deleveraging effect of some iron and steel enterprises is not obvious,and the enterprise leverage ratio has not decreased too much.Even the leverage ratio of a small number of enterprises has increased,indicating that there are many problems to be solved in the scheme.Through the detailed research on the deleveraging process of the whole iron and steel industry,combined with the existing financial theoretical knowledge,it is of great significance to put forward summary policy suggestions for most iron and steel enterprises that have not solved the problem of deleveraging.Firstly,this paper collects,reads and analyzes the relevant literature at home and abroad to understand the research content of the existing literature;Secondly,according to the existing research to define the relevant concepts,and sort out the relevant theoretical basis;Then explore,including the current situation of leverage in the iron and steel industry,the reasons for the high leverage in the iron and steel industry and the policy background of deleveraging;Then it introduces the case overview of Valin steel and makes a specific analysis on the choice of deleveraging path,and then explores the effect of deleveraging through several aspects.Finally,draw a conclusion and summarize the enlightenment,and put forward targeted and feasible suggestions.Through the analysis of specific cases of deleveraging of iron and steel enterprises in this paper,we hope that the majority of attention can have a deeper understanding of deleveraging.Especially under the current national policy requirements of deleveraging and stabilizing leverage,the iron and steel industry,as a large highly leveraged enterprise,still needs to further reduce the leverage level,This paper hopes that through the good experience of Valin Iron and steel in deleveraging,more state-owned iron and steel enterprises can see the benefits of deleveraging to enterprise development.At the same time,they can choose the appropriate deleveraging path and the expected effect according to their own situation,improve profitability on the basis of reducing leverage ratio and realize sustainable development.