Inquiry Into Local Government Debt Audit In China

In the existing laws and regulations specify the local governments at all levels shall not be raised in debt, and shall not contain deficit budget, in addition to the special cases are also not allowed to provide guarantee. But the fact the local government debt in China is huge amount, many types, wide sources. Local government debt capital as an important source of funding for local economic development, in the protection of local economic development and improve people’s lives, respond to emergencies and natural disasters, to withstand the financial crisis has played an important role. However at present, our country local government debt situation was complex, large scale, there exists a certain debt risk, has become a constraining the development of the local economy negative factors. In this situation, the status and role of local government debt audit work has become increasingly prominent, the community’s expectations and audit requirements are also increasing.In this paper, based on this consideration, on the basis of China’s local government debt audit present situation, from the causes of local government debt as a starting point, to the national audit theory, theory of state supervision and risk management theory as the foundation, trying to find out that exist in the government’s debt audit deficiency, and make recommendations to address these issues, so that the audit institutions in the prevention of local government debt risk, safeguard national financial security, to ensure sustainable economic development and better play its due role. This paper is divided into five parts:The first part is introduction, in this part,the research background and significance, research methods, ideas and innovations of the paper gives a brief description, and the domestic and local government debt and audit studies carried out combing and reviewed.The second part is the related theories, this chapter discuss the debt of local government auditing theory, mainly includes: national audit theory, theory of state supervision and risk management theory.The third part is the analysis of China’s local government debt audit present situation, this part from the local government debt audit work as the starting point, discusses the debt of local government audit model.Analysis of the existing problems and reasons of audit of local government debt in China in fourth parts, on the basis of analyzes the above, points out the problems and reasons of audit of local government debt in china.The fifth part in view of the existing problems and causes of audit of local government debt in China, and puts forward suggestions of perfecting: Pay attention to local government audit focus problem; The construction of local government debt risk audit and evaluation system of national audit; Innovative ways and means of national audit work; Build a large pattern of financial audits, strengthen the local government debt audit.In this paper, the results of the study found the problem of local government debt audit in our country mainly: The first, the audit is not strong enough, risk regulatory system is not sound; The second, not enough attention to performance audit and economic responsibility audit; The third, the audit methods are rich enough, thought is not open. Through in-depth analysis of the reasons for such problems, found that the main reason is that: The first, the audit resources is not enough; The second, the audit team overall quality is not high; The third, independence is not enough; The fourth, audit institutions impossible to quantify; The fifth, audit work plan was flawed.This paper, and according to the causes of such problems, Put forward some policy Suggestions. Mainly includes: The first, local government debt audit will focus on some problems, to give full play to the role of local government debt audit supervision, focusing on the characteristics of the local government debt, seize the key audit issues, improve the efficiency of audit work, to ensure the quality of audit work, focus on the problems including the government fiscal expenditure audit. Local financing platform for the audit and land transfer fund audit; The second, construction of local government debt risk audit evaluation system, this evaluation system is mainly composed of evaluation target, evaluation subject, evaluation body, evaluation goal, evaluation method, local government debt risk, the results of evaluation and also will provide important basis for raising and management of local government debt; The third, the national audit work way and the method innovation, mainly including promoting financial audit, financial audit, pay attention to the combination of performance audit, increasing the service efficiency of local government debt financing, the integrated use of mark forward audit and follow up audit, economic responsibility audit, balance system of local government administrative power, using reasonable audit and implementation of policy implementation effect of the audit; The fourth, Build financial audit pattern, strengthen the local debt audit, mainly including set up financial audit pattern of big ideas, strengthening the management of financial audit plan and major financial audit.