The top economic priority next year.....>

CHINA PRESS: The top economic priority next year is strictly controlling the

growth of local government debt, particularly the "invisible" part, the China

Business News said in a commentary on Sunday. The Ministry of Finance has

stressed recently that the market and financial institutions should dispel the

illusion that the central government will bail out indebted local governments.

The authorities will curb debt growth through regulations on local governments,

financial institutions and state-owned enterprises run by the central

government. China will set up a market-oriented mechanism to tackle defaults and

prevent expansion of risk associated with debt. Regulators will crack down on

illegal guarantees and correct bad behavior in governmental investment funds,

public-private partnership projects and government purchasing services, the

commentary said. (China Business News)