Local Government Financing Model Innovation

In 2008,in financial crisis,China's economic slowdowns,the central government launched a proactive fiscal policy to stimulate economic growth.The government-led investment in the stimulus package has put local governments under enormous financial pressure,and local governments are making full use of their financing platform companies.Traditional government financing in BT mode(construction-handover)of project financing,such as BOT mode,BOO mode and BOOT mode,which has only temporarily delayed the payment time,but not eased the financial pressure.Therefore,in order to alleviate the government financial pressure,the debt repayment pressure,raise the financing platform Company's financing ability,thus guarantees the urban public infrastructure construction,the transfer rents mod(constructs-leases-transfers,Build-lease-transfer,BLT)emerges.Based on the research of literature,qualitative research and investigation and analysis,this paper studies the innovation of local government financing mode on the basis of the project analysis of the allocation and lease financing mode implemented by a certain platform company in Chengdu.At first,a brief introduction of the research is given,including the background,the purpose and the significance,followed by the research achievements at home and abroad for this field.The paper introduces its research ideas and methods,and then introduces the theoretical basis and related concepts of this research institute,then analyzes and expounds the relevant policies and risk management of the financing mode of allocating and leasing in Chengdu,and carries on the empirical analysis and research based on the allocation of a certain platform company.The research shows that the construction of urban infrastructure projects can be planned and set up by using the allocation of rent-changing financing mode,which will extend the payback period of the project to a certain extent.Enhance the financing ability of local government financing platform;On the other hand,the use of the transfer of rent financing mode,to guide more social capital into the larger demolition projects,not only to alleviate the pressure on the huge amount of funds required,but also to promote local government debt control management,better safeguard the smooth implementation of the project,To promote the construction and improvement of public infrastructure,to meet the needs of the public infrastructure,so as to achieve the government,society and Enterprise's three-win situation,better serve the local city construction,and drive the development of regional social economy.On the basis of this study,the paper puts forward some suggestions on perfecting the financing mode of the allocation of rent,including the introduction of market competition,the development of high-quality local government financing platform,,the establishment of a risk control system for financing platform and the construction of a diversified financing system and strengthen pre loan management to improve the threshold of loan.Finally draws the conclusion: city construction investment is still our government's main investment areas;we should innovate the financing mode on the basis of the BLT mode,seek the lower cost,longer term funds,and promote the public service provision mode of government rent and payment;and the use of municipal bonds and social capital to provide financial support for infrastructure construction will form an effective alternative to bank loans.