(1) Arrange debt expenditure with regular budget income. That is, in the regular budget, the regular budget income is used to arrange the debts payable in the current year. Because taxes are the main source of recurrent budget revenue, previously issued treasury bonds due should be repaid with current taxes, and now issued treasury bonds should be repaid with taxes collected later. Therefore, the essence of national debt funds is disguised tax, that is, deferred tax. Debt repayment funds are based on regular budget income, which ensures the timely repayment of national debt to a certain extent.
(2) Reduce government expenditure and strive for budget surplus. The government can repay the principal and interest of the national debt with the balance of revenue and expenditure in the previous year. The more the balance, the more debt will be paid; If the balance is less, the debt will be less. In order to realize the budget surplus, we must increase revenue and reduce expenditure.
(3) Borrow new debts and repay old debts with new debts. The government can replace the old national debt by issuing new national debt, thus obtaining income. When the government is in financial difficulties, it can borrow new debts and use the income from the new debts as the source of funds to repay the old debts.
(4) Establish a sinking fund. The government can set up a special fund to repay the national debt when formulating the budget. That is to say, special funds are set aside from the fiscal revenue every year to set up a fund, which is managed by a specific organ for debt repayment. Before the national debt is paid off, the annual budget allocation shall not be reduced to reduce the debt year by year.