Study On Government Policies In Financing Problems Of Wujiang Private Enterprises

Private enterprises, after30-year-development of the reform and opening up, have become an important part of China’s non-public enterprises and have been playing an important role in the national economy and social development, undertaking a large number of jobs, creating a lot of GDP, activating the market economy in the socialism, which becomes an important practitioner in the economic and social sustainable growth. It can be said that keeping the vitality of private enterprise development has far-reaching significance in maintaining the stability of the local economy.In this paper, we chose Wujiang private enterprises as the research object, through the introduction of the development of Wujiang private enterprises, we analyzed the constraints and difficulties in financing currently encountered in private enterprises, and explained how to help them break the bottleneck of financing difficulties from the government management perspective. During the recent years, Wujiang economic development faced a big market constraints and difficulties. For example, due to the impact of industrial transfer and overcapacity, the two billion-level industries of Wujiang, electronic information industry and silk textile industry, are faced with an unprecedented level of development difficulties. With electronic information industry driven by the industrial transfer policies and rising labor costs, the overall capacity remains; With silk textile industry affected by overcapacity and falling prices of upstream PX, PTA prices fell down, thus leading to capacity expansion but severe shrinking. These external factors led directly to the surge of industry pressure, combined with their own shortcomings, resulting in Superposition Effect and bringing out a core issue: financing problems. So the government should take it into consideration on the related issues.This paper focuses on the financing problems of Wujiang private enterprises, mainly analyzing at the aspects of banks, businesses and governments. From the aspect of the bank, benefits and risks are both important; From the aspect of the enterprise, lacking and developing is a contradiction; From the aspect of the government, not all the parts can be paid attention to due to the limited ability. According to various deficiencies, in order to help companies, suggestions are put forward as follows, developing related policies and special funds, innovating financing measures, bettering government services and improving government decision-making capability, thus helping private enterprises crack the essence of development problems. The innovation of this paper is to analyze the financing problems from the perspective of government management, highlighting the government services and management functions, which is highly targeted. Financing needs tackling the problems internally and externally. Government services are boosters to help companies solving the problems, and government management is a regulator to maintain a better financing environment.