As authorities are clamping down on.....>

CHINA PRESS: As authorities are clamping down on local government's illegal

financing activities, the financing of municipal investment companies is

increasingly facing difficulties, 21st Century Business Herald reported Friday. 

  - Financing of these investment companies, which are usually used for the

construction of local infrastructure projects, is negatively affected by the new

rules regulating wealth management product(WMP) businesses which ban WMP

businesses of some security companies and funds, the newspaper said; 

  - Financial trusts also are tightening standards for lending to companies with

government influence, as they are less certain that local governments would help

these investment companies if any risks occur, the newspaper said.