Post Profile

China Officially Doubles Down On Multi-Trillion Yuan Debt Swap Program

Last week, in “China May Double Down On Debt Swap As ABS Issuance Stumbles,” we discussed the likelihood that China’s local government debt swap pilot program would be expanded in the very near future. To recap, here’s what you need to know about the refi effort: China’s local governments are sitting on a pile of debt that amounts to around 35% of GDP. That’s a problem because some of this debt was accumulated off balance sheet through LGFVs (an effort to skirt official restrictions on borrowing via shadow banking conduits) meaning in some cases yields are far higher (at roughly 7%) than they would have been otherwise.
read more


Related Posts

Failed Chinese Local Bond Offering Leads To PBOC Easing Confusion

Business & Finance : Zero Hedge

Last week, the first province to participate in China’s local government debt swap program delayed a $10.5 billion bond sale. As a reminder, local governments in China are laboring under some 18 trillion yuan in high interest loans....

Photo marketplace 500px raises $13M more to help double down on its expansion in China

Technology : Venture Beat

500px has raised $13 million in new funding to support its photo community and marketplace. It'll use funds to further product growth while also expanding internationally, including into the Greater China market.

The Defaults Continue In China As Duck Producer Sinks

Business & Finance : Zero Hedge

On Monday, in “China May Double Down On Debt Swap As ABS Issuance Stumbles”, we reiterated the important point that China is effectively pursuing a number of competing policy goals in an attempt to deleverage and re-leverage simulta...

China May Double Down On Debt Swap As ABS Issuance Stumbles

Business & Finance : Zero Hedge

Chinese stocks jumped nearly 5% on Monday on disappointing macro data which betrayed a third consecutive monthly contraction in the manufacturing sector (remember, bad news is good news in a world hooked on central bank-dispensed mo...


Copyright © 2016 Regator, LLC