Research On The Government Audit Of The Local City Investment Bonds Under The Risk Oriented Model

Since China's Reform and Opening-up,the accelerating urbanization process has formed a huge financial gap.Then the Tax Classification Reform led to the mismatching of duties and financial power between the central government and local government.In addition,the legal restrictions on financing channels have forced the local government to find other ways.As a result,the City Investment Bonds came into being.It is of great significance to solve the shortage of local government funds and speed up the construction of urban infrastructure.However,in recent years,with the increase in the scale of issuance,the risk hidden by the bonds has also aroused the concern of national audit organs.At present,there are still many problems in audit of City Investment Bonds,such as only concerned about authenticity and legitimacy,lack of efficiency and irrationality of audit resource allocation.Therefore,how to improve the work methods to increase the efficiency and quality of bonds audit,so as to regulate the behavior of issuers,prevent and defuse the bond risk,protect the national economic security and give full play to government audit as the "immune system",are the current audit research should pay attention to.Firstly,on the basis of existing literature,this paper summarizes some theoretical research about the audit of City Investment Bonds,and gives it a brief introduction to the concept and characteristics.Secondly,according to the practical experience of XY district in Chongqing,it is concluded that there are still many shortcomings in the bonds audit.For example,the audit target is not comprehensive,the audit method is single and no regular audit is established.At the same time,this paper holds that the auditors lack of attention to the risk of issuers themselves and the risk during the duration of City Investment Bonds,and then puts forward the idea of applying the risk-oriented concept in the bond audit.Through investigation of issuers' risk and expansion of important audit content,the risk assessment will run through the entire audit process,increase risk analysis procedures while reducing the blind examination procedures,thereby enhancing the audit efficiency.Thirdly,this paper explores a set of auditing process of City Investment Bonds under the risk-oriented mode,and divides it into four stages,which are: assess the risk of issuers,develop the audit plans,implement the audit work and issue audit reports,then set out the risk indicators around four important aspects: bond issuance,bond use efficiency,bond investment effect and bond repayment.Finally,from the perspective of perfecting the audit of City Investment Bonds,this paper puts forward some suggestions and countermeasures.The contribution of this paper is reflected in two aspects: one is take the audit mode of City Investment Bonds as the research entry point,improve the efficiency and quality of audit and enrich the current research.The second is to introduce the risk-oriented audit mode into the City Investment Bonds audit,and combine the audit theory with practical experience closely.