A Study On The Supervision Of The Financing Platform At The County And District Level In China

In recent years,with the acceleration of the urbanization process of China,some local governments,especially those in the central and western regions,have encountered the problem of capital shortage in the work of large-scale infrastructure construction,which has seriously affected the further improvement of local urbanization level.In order to solve this problem,local governments in various regions begin to use the tool of government financing vehicles in a large scale to carry out financing activities endorsed by government credit towards various financial institutions.In 2008,the international financial crisis affected China.In order to cope with the adverse effects brought by the economic crisis,the central government of our country formulated a large number of relatively aggressive monetary and fiscal policies.Under the drive of these policies,local investment and financing platform enterprises closely related to infrastructure construction have achieved rapid development and played an irreplaceable role in the construction of large-scale infrastructure projects.Meanwhile,many local financing platform enterprises have gradually exposed lots of problems and defects in the process of development.With the substantial increase of financing platform enterprises in various regions,problems such as the low level of supervision and the excessive expansion of credit scale of platform enterprises have also emerged one after another,which have aroused widespread attention from all sectors of society.In particular,some local financing platform enterprises have brought gradually increasing debt and financial risks to local governments and adverse effects on the healthy development of local economy.Therefore,how to strengthen the supervision over local government financing platforms and close the loopholes in the current supervision process has increasingly become the key to the prevention of financial crisis by the local governments.By analyzing various problems emerging in the supervision process of government financing platforms in X district of Nanchang city,this paper makes comprehensive use of the theories related with public management to carry out research work from the aspects of policies and regulations,regulatory system and risk management,etc.The author puts forward some policy suggestions aiming at the current problems existing in the supervision process of local government financing platforms in X district of Nanchang city,with the main contents of requiring local governments to rationalize their authority-responsibility relationship with platform enterprises,establish and perfect the risk pre-warning mechanism of local government financing platforms,promote the transformation of the governance structure of local financing platform enterprises and allow the local financing platform enterprises to achieve further development while ensuring that the local governments will not produce financial crisis.