MNI China Press Digest, Jan 9: PBOC, Negative List, Securities

     BEIJING (MNI) - The following lists highlights from Chinese press reports

on Thursday:

     The People's Bank of China may lower interest rates for open market

operations, medium-term lending facility and the Loan Prime Rate by between 15

to 30 bps this year, according to a report in Financial News. Citing Zhang Ming,

Chief Economist with Ping'an Securities, the report says the deficit ratio

target is estimated to increase to 3% from 2.8% in 2019. Zhang also said the

issuance of new special-purpose local government bonds would be over CNY3

trillion in 2020.

     China will make more cuts to the negative foreign investment list,

according to Wang Shouwen, the Vice Minister of Commerce. The People's Daily

reported comments by Wang, who said that China would also give greater autonomy

to free trade pilot zones, and explore the creation of a negative list for the

cross-border trade in services.

     The issuance of rate securities in China will reach CNY600 billion by

January 15, according to data from Wind Information reported in the China

Securities Journal. 60% of the issuance is in special-purpose bonds for local

governments, while bonds sold by policy banks will reach around CNY150 billion.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI Sydney Bureau; +61 405322399; email: lachlan.colquhoun.ext@marketnews.com

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