Investment grade rated Chongqing Nan’an Urban Construction Development sold $800 million in three-year and five-year bonds on Tuesday, extending the recent diffusion of Chinese local authority borrowers into the dollar markets as rising default rates push up domestic borrowing costs.
Local-government financing vehicles such as Chongqing Nan’an have been expressly set up by Chinese local governments to help finance infrastructure development.
In the three months to end June,...