Research Of Normalization Towards The Local Government Debt Governance

As a major source of local revenue,regional government debt plays an active role in promoting regional economic development and improving the quality of local public goods and services;However,it also raise some risks about local finance and even the national economy.The new revised<Budget Law>authorizes local governments the limited right to issuing bonds,which has taken a positive step to the normalization and legalization of local government debt's supervision.According to the statistics of local debt,the debt scale of China has not yet exceeded the international warning standards,but the issues like fast growth,lots of implicit debt and the lack of supervision has become a serious problem of macroeconomic in China,and the potential risks can't be underestimated.Therefore,the legal regulation of local government debt not only the necessary means to protect both the healthy and orderly operation of local government debt,but also the essential way to make the legalization of financial achieved.This paper plan to through the analysis of the statues and problems of local government debt to find the underlying causes of local government debt formed,Then give some advice to solve the problem of regional government debt,and explore the legal path to resolve the local debt risk.Except the introduction and conclusion of the full text,the article is divided into four parts.The first part of the article analyzes the main reason giving rise to risk of local government debt separately from the political,economic,social three aspects to.The second part lists the highlights and shortcomings of the existing laws and regulations in the local debt issue,and analyzes the lack of current supervision and accountability mechanisms from the views of legislative,administrative and judicial aspects.The third part summarizes experiences from the United States,Western Europe,Japan and other countries about resolving the local debt crisis,and distills the useful elements to resolve the Chinese local debt issues.The fourth part is the normative path of resolve local debt stock,and propose to revise the current 'constitution',make 'basic financial law' and' local debt law' to build a comprehensive regulatory legal system of local government debt.And the related mechanism of resolving issues of the local debt stock,which includes establishing the relevant system of local government bankruptcy,improving the official promotion incentive mechanism and implementing the lifelong accountability system,so as to strengthen the supervision and risk control of local government debt.