Is there any difference between stat board bonds and municipal bonds?
From Bloomberg
China is notorious for pushing the dirty work of stimulus on to local governments that lack sufficient sources of income. They use debt to plug the gap. A spending spree in 2012 resulted in almost 30 trillion yuan ($4.3 trillion) of LGFV obligations. In the past three years, China amassed another 8.1 trillion yuan of special-purpose municipal bonds, Beijing’s new favorite tool for project financing.
From mediacorp
Govt to allow stat boards, state-owned firms to tap capital markets to fund mega-projects
From Bloomberg
China is notorious for pushing the dirty work of stimulus on to local governments that lack sufficient sources of income. They use debt to plug the gap. A spending spree in 2012 resulted in almost 30 trillion yuan ($4.3 trillion) of LGFV obligations. In the past three years, China amassed another 8.1 trillion yuan of special-purpose municipal bonds, Beijing’s new favorite tool for project financing.
From mediacorp
Govt to allow stat boards, state-owned firms to tap capital markets to fund mega-projects
