Research Status,Causes And Countermeasures Of Chinese Local Government Debt

In the rapid development of the global economy today, China development should not beunderestimated. The tube is from the official data, or from the social aspects, we can see, the government inthe economic development contribution is very big. But at the same time, we can also see, the governmentto the economic and social development, security around the city construction, is the need for a lot ofmoney, but the local government finance limited, Therefore, governments will try various ways throughdebt and other means to raise funds, guarantee funds flow smoothly. Thus, the debt problem of localgovernments also produced. The local government has accumulated more debt, the debt scale is continuallyexpanding, local government debt problems and the corresponding also emerged, For example, the localgovernment debt over the impact of local finance, disrupt the financial order; Local government debt is toomuch to reduce the efficiency of social resources and investment efficiency; Local government debt is toomuch is easy to cause the risk in the financial, fiscal, economic and social aspects; Local government debtis too much will affect the government’s credit. And these problems, suggests that the local governmentdebt risk problem may be formed, which is not conducive to good operation of public finance, more is notconducive to the healthy and stable development of the macro economy. Therefore, we need localgovernment debt problem for China to do in-depth research, in order to get a better way to solve theproblem of local government debt.The research object of this paper is China’s local government debt problem, study is carried out fromthe aspects of. Firstly, some concepts related to local government were clear, have a clear understanding,including the classification of government debt, from two aspects of what is the significance of governmentdebt, analyzes the necessity of local government debt. Secondly, the analysis of the basic situation of localgovernment debt management in China, including the present situation and the origin of local governmentdebt in China, based on the analysis of the debt situation arising. Third, this paper analyses the governmentdebt by selecting some typical foreign countries, that some of our local government debt managementinspiration from the surface, Mainly include: To establish our country’s debt management scale, improveaccountability and error correction mechanism of local government debt, The central government should strengthen the debt management of local government, Calls for the transparent management of localgovernment debt and to perfect the local government debt guarantees and repayment mechanism. Fourth,the basic problem analysis, see there is local government debt management in China, and put forward somecountermeasures to solve these problems. Are: Establish and improve the information disclosure system oflocal government debt and government accounting system, full transparency of local government debtinformation; Local government debt problem legalization, use the law to prevent the debt crisis; Theestablishment and perfection of the external supervision and encouragement mechanism.