November 03, 2022 02:29 GMT
MNI China Press Digest Nov 3:Local Debt, Finance, Supply Chain
MNI summarises the key stories from the Chinese press.
The following lists highlights from Chinese press reports on Thursday:
- China will curb the increase in off-balance sheet debts by local governments, resolve outstanding debts and gradually realise the consolidated supervision of all local debts with unified rules, Caixin reported citing an article by Finance Minister Liu Kun. Most of the off-balance sheet debts were raised by local government financing vehicles many years ago. Liu committed to strengthen the governance of these financing platforms and change the perception that the government would bail out any debt defaults, which is a rare official statement and sends a clear signal, Caixin said.
- It is necessary to strengthen financial services to the real economy and manage monetary supply to prevent the macro-leverage ratio from rising rapidly, Securities Times reported, citing an article by Guo Shuqing, chairman of the China Banking and Insurance Regulatory Commission. Financial institutions should increase medium and long-term support for advanced manufacturing and strategic emerging industries, and improve financing for SMEs, agriculture sector, rural areas and farmers, as well as people who have newly registered in a city, Guo wrote. It is also necessary to control the "blind" expansion of financial institutions and enhance tools to manage financial risks.
- China will pursue economic globalisation, open regionalism and ensure supply chain resilience, while opposing "building walls, decoupling and breaking chains", 21st Century Business Herald reported, citing Lin Nianxiu, deputy director of the National Development and Reform Commission. China welcomes Asia-Pacific Economic Cooperation's (APEC) initiative to promote the flow of key materials and safe personnel exchanges, and is willing to strengthen cooperation with various economies in Asia Pacific to smoothen supply chains and address challenges in logistics, energy and agriculture, Lin was cited as saying.