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Low Land Sale Revenue Could Need More Debt Issuance

CHINA PRESS

Authorities issuing additional local government special refinancing bonds for resolving hidden debtsin H2 cannot be ruled out, given the 14% y/y decline in land revenue from January to May, according to Wang Qing, chief macro analyst at Golden Credit Rating. Wang noted that broad fiscal expenditure, which combines general public and government fund budget expenditure, fell by 2.2% year-on-year during January to May, which was not conducive to the counter-cyclical role of current fiscal policy. (Source: 21st Century Business Herald)

MNI Beijing Bureau | lewis.porylo@marketnews.com

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