| ABSTRACT:Local government financing platforms of local government in China are set up to solve the shortage of local government financial funds and lack of funds in city construction. Local government financing platform is an independent corporate entity which is funded by local government. However, in recent years there are huge potential financing and operating risks in local government financing platform. It is imperative to control the risks of local government financing platform. On the basis of systematically analyzing the relevant literature, this paper discusses the local government financing platform comprehensively.Firstly, this paper expounds the concept and connotation of local government financing platform, describes the development history and current situation of financing platform in China combined with the financing platform of risk theory, summarizes the general situation of financing and operating risk, analyzes the significance to the development of social and economic development in China.Secondly, the legislative defects of the risk of financing platform control system in China are summarized in this paper. The defective fiscal and taxation system results in local government financing platform debt increasing risk. Management in financing platform risk control which is not perfect causes platform operation risk. The irregularities of platform financing trigger a centralized financing risk. The faultiness of financing debt risk warning and responsibility system initiates the risk of paying back and so on.Thirdly, most developed countries in the world have been widely explored the risk control model which is suitable to their own. This paper systematically analyzes the legislation experience in local government financing risk control of the countries which include America. Australia and Japan. The paper also objectively analyzes the enlightenment of the advanced legislation experience to local government financing platform risk control in China.Finally, this paper combines with the advanced legislative experience of the advanced countries and the existing laws of China, puts forward legal suggestions to perfect the local financing platform risk control. For example, improve of finance and taxation system in China, strengthen the management of financing platform risk control, standardize the financing of financing platform, establish and improve the debt risk warning system and investment and financing responsibility system and so on. |
