China is considering a mechanism to cap local government debt, a researcher affiliated with the Ministry of Finance was cited as saying, as policymakers debate deficit levels for a year in which a wave of debt will come due.
Local governments’ approved debt levels would be set taking into account the a local economy’s size, the degree of urbanisation, existing debt and “management systems”, the China Daily reported on Thursday, citing Zhao Quanhou, head of financial research with the Research Institute of Fiscal Science, which is affiliated to the Ministry of Finance. Reported by S.China Morning Post 2 hours ago.
Local governments’ approved debt levels would be set taking into account the a local economy’s size, the degree of urbanisation, existing debt and “management systems”, the China Daily reported on Thursday, citing Zhao Quanhou, head of financial research with the Research Institute of Fiscal Science, which is affiliated to the Ministry of Finance. Reported by S.China Morning Post 2 hours ago.