The Risk Of Overseas Investment Of State Capital Control And Evaluation Research

To further enhance the competitiveness of Chinese enterprises to participate in the international market,to enhance their international right to speak and fight for the position of the upper reaches of the international division of labor,at the same time,to meet the needs of "two-out" model whose development is dependent on foreign markets and foreign resources, in recent years,the will that participate in the overseas investment of the State-owned capital becomes stronger and stronger.Especially since the RMB’s external appreciation and internal devaluation, the rapid and substantial increase of M2supply in consecutive years,not only reduce domestic purchasing power of the yuan and the domestic investment rate of return,but also stimulate and enlarge the impulses of overseas investment by Chinese enterprises.However, based on impulse driven, there is certain blindness by overseas investment, which makes overseas investment seed down the risk gene from the outset. With the growing scale of overseas investment by State-owned capital, there are more and more risks need to face, which are breaking out, and which continues to accumulate.The Libyan crisis broke out in early2011dealt a heavy blow to Chinese overseas investment, which led to re-examine the overseas investment of State-owned capital by the whole society, and also gave us a more profound understanding of the risks of overseas investment. What are the main risks of the overseas investment of State-owned capital? How to evaluate them scientificly? How to prevent them effectively? Face to the overseas investment market which is increasingly important but exists lots of potential risks, these problems become a common concern of academia and practice,"risk control" and "risk assessment" has also become the key questions to prevent the risks of the overseas investment.Affected by various factors, compared with risks of domestic investment, risks of overseas investment have a certain degree of particularity. Not only the potential risks are more complex and difficult to control, the consequences are also more serious. Obviously, the copy of the original methods on risk control and risk assessment for domestic investment cannot effectively guard against the risks of overseas investment. Face to the increasingly complex domestic and overseas environment, studies on risk control and assessment for overseas investment of State-owned capital have important theoretical significance and practical value. Since the prevention and control of risks of overseas investment can not copy the original methods for domestic investment, then, what kind of risk control is more fully and effectively to prevent the risks of overseas investment? How to build such a risk control method? This paper argues that only to establish the risk control process which is coordination linkage between domestic and international multi-agents, play their advantages on information and channels, fully monitor and track the risks in this process,and timely prevent and response, can fundamentally prevent and control the risks of overseas investment.The specificity of risks of overseas investment determines that a single enterprise or a single administrative department cannot do risk control alone. Based on the considerations of "comprehensive","effectiveness" and "coordination linkage by multi-agents ", should promote risk control from the macro, meso, micro and other aspects, take full advantages of the strengths and capabilities of the Government and State-owned Assets Supervision and Administration Departments, give them greater responsibility to play their role to a greater extent and regard risk control as their top priority in overseas investment and management of overseas State-owned assets. At the same time, as the first responsible person, the funding company of overseas investment should become the core and the subject of risk control. Therefore, this article is going to build a combination of forward and reverse risk control process of the overseas investment of State-owned capital from the Government, State-owned Assets Supervision and Administration Departments, funding companies and offshore operating companies in macro, meso, micro, the terminal level, achieve information sharing and linkage of risk control, play a unique role of institutions abroad, specialized intermediaries and financial institutions, play the main force of the society as a whole, to protect against the risks of overseas investment more comprehensively and effectively.Besides the risk control, as a core part of risk control, risk assessment also can not copy the original method of domestic investment, then, face to numerous and complex risks of overseas investment, what kind of risk assessment system can evaluate the potential risks of overseas investment more scientifically? How can we build such a risk assessment system? How can we make the risk assessment system more useful rather than a mere formality? This paper argues that due to the risk of overseas investment involved in all aspects, it is difficult to identificate and evaluate scientifically by their own or a single administrative department, only build risk assessment system at all levels from macro to terminal level and achieve effective linkage of risk assessment, can give a more scientific and comprehensive understanding of the risks of the overseas investment. Based on the consideration of "comprehensive" and "multi-level" features, we should proceed with the risk assessment of the State-owned capital of overseas investment from the macro, meso, micro levels, make the Government become the promoter of risk assessment from the macro-level, make the supervision sector become the leader of risk assessment from the meso level, make the funding companies and overseas operating companies become the practicer from the micro and the terminal level. Therefore, this article designs appropriate risk indicators from the four levels as below:Government, State-owned Assets Supervision and Administration Departments, funding companies and overseas operating companies, and then, build appropriate risk assessment system accordingly. To make companies emphasis on risk assessment, should make the risk assessment system link with the performance assessment system for State-owned enterprises especially the central enterprises and other State-owned bodies who have overseas investments. Put the risk assessment into the existing performance assessment, format a performance assessment system whose core is risk assessment of overseas investment of State-owned capital, and give the risk assessment a greater weighting to highlight the important position of risk assessment of the overseas investment, to guide business managers in the overseas investment not only concern about the economic benefits, but also focus on the risk prevention of overseas investment, and to ensure the preservation and appreciation of State-owned assets in overseas.Overall, this article focuses on risk control and risk assessment that are the two core issues of the overseas investment of State-owned capital to carry out the theoretical and practical research. Summarize and analyze the main risks of overseas investment, give a basic description on how to establish and improve the risk control mechanism of the overseas investment, give some new ideas on how to establish the risk control process, how to design risk indicators and how to build the risk assessment system. In all, this article enriches and develops some researches on risk control and risk assessment of overseas investment in State-owned capital.