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China Ultra Long-term Bonds To Spur GDP

CHINA PRESS

China’s plans to issue ultra long term special treasury bonds will further expand investment and consumption demand, with the potential for an additional 0.25 pp of GDP growth per year if the bonds stimulate CNY1 trillion of additional investment and consumption annually, according to Lian Ping, president of Guangkai Chief Industrial Research Institute. The bonds will act as a transfer payment to regional jurisdictions to alleviate local financial burdens and will promote high quality development through support for major national projects, Lian added. (Source: Securities Daily)

MNI Beijing Bureau | lewis.porylo@marketnews.com

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