Guard Against And Dissolve The Risk Of Local Government Debt

A kind of financing local government debt is between the local government andthe financial institutions in accordance with the debt certain relationship of the way. Withthe efforts of local economic construction continues to increase, the local government isincreasingly dependent on borrowing to complete the task of economicconstruction, however, the size of local government debt if it is within the scope ofcontrol, to the development of local economy plays a certain role in promoting, in favorof local construction; But if the local government debt scale is beyond the scopeof security controlled, long-term to hinder the development of local economy. In recentyears, due to build wind everywhere, many local governments have spared no expense forall kinds of financing channels for the building of the city; the city’s debt scale isgrowing, even close to the edge. The analysis of the status of localgovernment debt, determine the risk level, and to prevent the development of localgovernment debt risk upgrade plan, has the important meaning for the healthy andsustainable development of the local economy. In this paper, based on the field survey tocollect data, analyze the data, obtained the Hubei province Jujube city between the risklevel of local government debt between common and dangerous conclusion. And the debtrisk puts forward some methods to solve the related, can support the city infrastructureconstruction, and make the debt risks remain in the controllable range.