Research On The Effect Of Transformation Of County F Investment And Financing Platform Company

With the accelerated process of urbanization in China,local governments are facing significant challenges in accelerating infrastructure construction and the development of public services.However,under the fiscal management system of China’s tax-sharing system and the constraints of laws and regulations such as the "Budget Law",relying solely on local finances is insufficient to meet the funding needs of urban development.As a result,local government investment and financing platforms have emerged,providing strong support for China’s urbanization construction and playing an important role in the country’s economic stage.With the continuous development and expansion of government investment and financing platforms,their own problems and drawbacks have gradually emerged,such as imperfect institutional mechanisms,large debt scales,and weak debt repayment capacity.In order to regulate the operation of local government investment and financing platform companies,and to control the disorderly expansion of local government debt,China has issued a series of related policies,especially the "Opinions on Strengthening the Management of Local Government Debt" issued by the State Council in 2014,which explicitly stipulates the separation of government financing functions from financing platform companies and prohibits the addition of government debt by investment and financing platform companies.The previous financing methods relying on government endorsement will no longer be applicable,and the future survival and development of local government investment and financing platform companies,which lack "self-generating capacity," face severe tests.Therefore,many provincial and municipal-level investment and financing platform companies have embarked on a transformation path and achieved good transformation effects.Summarizing the experience,timely analyzing the transformation effects of local government investment and financing platform companies,identifying the problems in the transformation,and achieving sustainable development of local government investment and financing platform companies are important issues that urgently need research.The County F Investment And Financing Platform Company was established in 2001 and has been committed to the urbanization development of County F,making important contributions to the urbanization process.However,in the long-term operation of the investment and financing platform,it has also encountered various problems,such as weak market-oriented capabilities and high debt risks.In order to achieve sustainable development in the future,the County F Investment And Financing Platform Company has undergone transformation through upgrading its strategic positioning,optimizing its sector structure,integrating and reorganizing resources,and establishing risk control mechanisms.This article analyzes the transformation effects of the County F Investment And Financing Platform Company in terms of marketization,profitability,guiding function,and regulatory function by organizing and reviewing a large amount of literature,collecting and analyzing relevant data.The analysis reveals that the County F Investment And Financing Platform Company still faces issues such as weak modern enterprise management concepts,insufficient profitability,low refinancing capabilities,and poor investment results.After conducting a causal analysis of the identified problems in the transformation effects of the County F Investment And Financing Platform Company,the following improvement suggestions are proposed:strengthening modern enterprise management concepts and improving corporate governance;enhancing the injection of high-quality assets and optimizing resource allocation;exploring diversified cooperation models and introducing social capital;improving the human resources system and talent mechanism.The analysis of the practical case of the County F Investment And Financing Platform Company not only deepens the study of the transformation effects of local government investment and financing platform companies but also enhances the practical guidance and value of the research,further optimizing the transformation effects of local investment and government financing platforms and achieving sustainable development of local government investment and financing platform companies.