Our Local Government Bonds System Research

China learned from the Fiscal system experiences from western market economic countries and implemented tax-sharing system reform since1994.Since then, The local government whether or not having completely independent financial power and further having right of issuing bonds has been a heated discussion topics by academic circles. This paper holds that whether in theory or reality, the local governments in China issuing bonds independently is an inevitable trend. Therefore, it is necessary to construct a scientific and standard system of local government bonds.This Paper in the third chapter inspect and evaluate local government bonds practices of the central issuing mode and Self-issue bonds pilot and point out the existing problems.In this paper, the U.S. and Japan local debt system was investigated, Points out the place the similarities and differences between the two countries debt and summarizes some of experiences for reference on the construction of the system of the our local bonds. For example:bonds issuing should have the issue of strict procedures and rules for examination and approval; Perfect supervision and early risk warning mechanism; scientific mechanism of repayment of the debt,and so on.At last, this paper design a local bonds related system suitable for China’s national conditions from the issuing, circulation, the repayment, using, and should also have a early risk warning mechanism. Hoping to construct a local government bonds suitable system for China’s national conditions and make it have a continued contribution power to economic and social development of local governments.