Local College Financial Risk Management Problems And Countermeasures

With the implementation of China’s college enrollment policy, the rapid development of local colleges and universities, continue to expand the size of the school, local colleges and universities gradually become the main force of popularization of higher education. Expand the size of the school to the development of local colleges and universities is double-edged sword. On the one hand to provide more people access to higher education for improving national quality has a positive effect; the other hand, local colleges and universities to bring huge financial pressure. Since the state of the local high investment is not enough, local government finance is limited, contradictory growing demand and limited state financial allocations and the school raised between school funding school funding for local colleges and universities have become increasingly prominent.Local colleges and universities have to bank loans, the use of debt financing for the school to become a universal phenomenon of local colleges and universities. Xingjiao borrowing behavior led to growing local colleges and universities to increase the financial risk, and constantly brings new challenges to the university financial management. Meanwhile, the financial management of some of the local colleges and universities is relatively weak, discipline violations have occurred, and some even more serious. In the new situation, how to avoid and prevent financial risks of local colleges and universities, for improving the financial management of colleges and universities, to guarantee the effective use of educational resources, and promote the healthy development of the school has a very important role.Based on the above facts, the paper aims to describe the financial status of local colleges and universities where financial risk management problems in education expenditures by local colleges, universities and local liabilities funding local colleges constitute structure analysis of the data. Secondly, the analysis of the causes of the financial risk management issues arising from local colleges and universities. Finally, through the analysis of the causes were controlled from the internal control and external financial risks both to propose appropriate countermeasures, trying to control the financial risks of local colleges and universities at a lower level, to ensure the financial security colleges and universities, local colleges and universities to promote health and sustainable development.