Research On The Development Strategy Of Local Government Financing Platform Taking XW Investment Company As An Example

Local government financing platform is a major innovation for government financing under the existing financial system in China.Promoting local government financing platform plays an important role in developing local economy and improving local public services.In recent years,the state pays more and more attention to the construction and development of local government financing platform.While vigorously developing it,local government financing platform also exposes certain problems.Based on the current development of local government financing platform in China,this paper discusses the current operation mode of financing platform,and puts forward corresponding development suggestions.Firstly,this paper will elaborate the relevant theories about local government financing platform,including public goods theory,local government competition theory,project differentiation theory and fiscal decentralization theory,then introduce the mode of local government financing platform,and analyze the characteristics of local government financing platform.Secondly,it analyzes the current situation of local government financing platform in China,and discusses the main problems,including the single financing subject,the concentration of financial risks,the absence of dual supervision of the government and banks.Thirdly,select the case of XW Group to analyze,introduce the development history and current situation of XW Group,summarize the existing problems and difficulties,and conclude that XW Group is faced with huge assets,lack of control,strong administrative color,lack of independent decision-making ability,lack of long-term planning,one-sided attention to financing capacity,ideological meaning.Conservative knowledge,problems in financing channels to be developed,large demand for investment projects,low profitability in business operations.Finally,drawing on the operation modes of several typical domestic financing platforms,XW Group's development proposals are put forward.XW Group needs to draw on the development experience of other cities,formulate its own development strategy,gradually break away from the shackles,broaden the financing channels,and obtain broader development space.