Research On District-level Government Debt Risk Assessment Under The Framework Of Balance Sheet

With the implementation of the New Budget Law on January 1,2015,in the government finance field,the accounting system has been developed from budget accounting to budget accounting and financial accounting in parallel.Local governments began to compile the government’s comprehensive financial report in batches under the unified deployment of the central government.This report is different from the final report,and the accrual basis is the basis for compilation;At the same time,since the Audit Commission and the Central Special Commissioner in2013-2014 cleared the identification of local government debt and the issuance of Document No.43,the central government has paid more and more attention to the local government’s debt risk.General Secretary Xi also proposed to fight three major battles at the 19 th National Congress to prevent major risks,which puts higher demands on local government debt risk management.Therefore,how to comprehensively,accurately and objectively assess the local government debt risk has become a top priority for local government debt management.Under the above background,the Ministry of Finance has used local debt ratio indicators to assess the local government debt risk,and selects the general debt ratio,the special debt ratio,and the comprehensive debt ratio from the income and expenditure statements in the local financial final accounts to measure the risk of local government debt.However,there are many problems with the current assessment methods.In contrast,the balance sheet,as another tool for analysis and assessment,can more reflect the financial status of local governments,so that government managers and social investors can better understand the solvency of local governments.This paper is based on the theory of balance sheet and the theory of government debt,comparing the government’s current comprehensive financial report,total final accounts,and three balance sheets under the department’s final accounts,and the government balance sheet prepared by other experts and scholars such as Mr.Li Yang and Mr.Ma Jun,based on the existing framework of the government’s balance sheet,aims to comprehensively and objectively assess the government’s debt risk,and explores to construct a local government debt balance sheet by discussing each of the assets and liabilities included in the table.Then attempted to compile the local government debt balance sheet for District A in 2014-2018 based on the existing data,and applied it to the local government debt risk assessment,and analyze the District A local government debt risk through the risk identification,risk assessment and risk evaluation.