Research On The Impact Of Local Government Debt Pressure On The Credit Spread Of Urban Investment Bonds

In recent years,with the vigorous development of my country’s infrastructure construction,the scale of urban construction investment bonds has also expanded rapidly.For local governments,urban construction investment bonds have gradually become the most important financing method,and for the bond market,they have gradually become a major sector of the financing.On the one hand,urban construction investment bonds have promoted the development of the regional economy and made outstanding contributions to urbanization.On the other hand,with the rapid expansion of the scale of urban construction investment bonds,local government debt pressure has gradually increased,and debt risks have gradually emerged,even debt risk events such as non-standard claims defaults have occurred.The increase in the scale of urban construction investment bonds has not only increased the pressure on local government debt and posed a challenge to the reputation of local governments,but with the expansion of the debt scale,the Rigid payment faith is broken.The recognition of the financing of urban construction investment bonds has differentiated in different regions,and new historical changes have taken place in financing interest rates and credit spreads.Urban construction investment bonds are historical products with Chinese characteristics,and the research on the factors affecting credit spreads is still incomplete.The definition of the nature of urban construction investment bonds and related policy need to be further deepened and reformed.Based on the new development situation and from a new perspective,this paper studies the impact of local government debt pressure on the credit spread of urban construction investment bonds.This article first introduces the relevant theories of urban construction investment bonds and credit spreads,and combs the relevant research literature of urban construction investment bonds.Secondly,the development origin,historical positioning,development status and important significance of urban construction investment bonds are sorted out.Urban construction investment bonds are a special product under the special historical background of our country,and they undertake the special function of financing the government.Thirdly,it deeply analyzes several major factors that affect the credit qualification of urban construction investment bonds,and from the perspective of the relationship between urban construction investment company and the government,deeply demonstrates the government’s implicit guarantee for urban investment platforms,and then infers that the overall debt pressure of local governments will affect The debt-credit spread has a significant impact.Finally,with the support of a large amount of data,the hierarchical regression method is used to analyze the data through the SPSS software to determine the impact of government debt pressure on the credit spread under the control of other variables.The results show that the government debt pressure factor has significantly boosted the increase in urban construction investment bonds credit spreads,and the degree of this impact is significantly higher in the western region than in the eastern developed regions.Based on the empirical results,the author puts forward several policy recommendations,specifically:gradually relieve debt pressure,increase local debt issuance quota,divest the platform’s pure public welfare business,improve the official evaluation mechanism,and strengthen debt coordination and supervision.