The Application Research Of Medium Terms Notes In Local Government Investment And Financing Platform In China

Under the new political and economic situation, China’s local government investment and financing platform faced with the transformation problem, mainly includes two aspects of the problem: debt financing and risk management.On the one hand,how to broaden the financing channels, raising funds for project construction in low cost which improves the debt structure; On the other hand, on the premise of the contradiction among big demand, long return cycle, and low returns on the project, how to manage the debt risk. And medium-term notes as a medium-term debt financing tools, itself has the flexible distribution, low cost of fundraising, information disclosure transparency, which suits the fund-raising demand of local government investment and financing platform company and debt risk management requirements. In this paper, therefore, as the only provincial local government investment and financing platform in Yunnan province, Urban and Rural Construction Investment Company in Yunnan Province issue the first "Bond-Loan portfolio" medium-term notes in our country. BY analyzing this case, mainly including the financing reason, financial status and risk analysis, that is, the analysis of the advantage of " Bond-Loan portfolio " medium-term notes, we found " Bond-Loan portfolio " medium-term notes is obtained in the application of local government investment and financing platform which has necessity and feasibility. Finally, put forward the corresponding policy recommendations for promotion.