local government financing vehicles

Central China Real Estate’s Mai expresses cautious optimism over property sector while New World Development’s Lam elaborates on Greater Bay Area challenges.

In a move to curb local government debt, regional governments will no longer guarantee the offshore bonds of local Chinese state firms.

Investors are rushing back to Chinese LGFV offshore bonds, but credit risk means that picking the wrong ones could be costly.

The Chinese government’s intention to sell $203 billion of local government debt marks a departure from deleveraging to stimulus. But it is likely to increase China's debt problems.

More than Rmb1 trillion of special-purpose bonds could hit the onshore market by October-end and offer a premium over the Chinese risk-free rate. But buyers beware.

A missed payment on a Rmb500 million local government debt spooks investors. Now they're waiting anxiously to see what happens next.

At least a dozen local government financing vehicles, or LGFVs, have hit the brakes on their offshore debt sales as investors fret about the rising default risks.

Rising onshore borrowing costs leads to a rising risk of bond defaults by local-government financing vehicles

Rising funding costs and regulators' strict new guidelines for borrowers will prompt a wave of issuance offshore in 2018.