Beijing, Shanghai, Liaoning Lop USD81 Billion Off Government Debt
Yicai Global
/SOURCE : Yicai
Beijing, Shanghai, Liaoning Lop USD81 Billion Off Government Debt
(Yicai Global) Feb. 8 -- China's provincial governments are dclosing local debt figures alongside budget reports, after local governments' two sessions have come to a close. Beijing, Shanghai and Liaoning have all made significant debt reductions, paring a total of USD81 billion over the past two years./n/n/n/n/nThe total debt balance for Beijing at the end of last year expected to be 35 percent lower than the end of 2015, per a Beijing government budget report, marking a significant reduction of its local government debt after cutting 9 percent between 2014 and 2015.

Beijing government debt totaled CNY638 billion (USD94 billion) at 2014's end, the city's finance bureau said. The figures reported th month show municipal debt falling by CNY258 billion to CNY380 billion over the last two years.

Shanghai's debt has also continued down, dropping CNY133 billion between 2014 and to CNY449 billion last year. Its debt ratio slid 20 percentage points to 39 percent. Liaoning likewe posted a government debt slide of CNY169 billion.

Beijing's finance bureau cited a better-organized budget, local government bond swap sues, market-based operating methods and a lawful transformation as having enabled the city to successfully and properly dcharge current debt.

Shanghai's finance bureau also swapped convertible current government debt for bonds, thus lowering its debt costs, and will continue to sue local government bonds in light of the Shanghai Free Trade Zone, the finance mintry's treasury bond sue system and the government bond sue system on the Shanghai Stock Exchange to relieve financial pressure on both city and dtrict governments.

Liaoning's fcal department said it will promote the set up of business groups, implement public-private partnership projects, dpose of idle assets, and detail and quantify its work to achieve practical debt cuts. It will also manage its debt budget and ensure timely repayment of principal and interest to maintain its creditworthiness.

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Keywords: Beijing , Shanghai , Liaoning