Xi's deleveraging zeal hits China local govt funding plans

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.

Xi's deleveraging zeal hits China local govt funding plans

It's practically a year since President Xi Jingping launched China's deleveraging campaign and the ripple effects are being felt in overseas primary bond markets, with Chinese local-government financial vehicles LGFVs in particular reining in their debt-funding plans.

At least a dozen, including Shenzhen Guangshen and Shandong Gaochuang -- the investment vehicles for the authorities in the city of Shenzhen and Shandong province, respectively -- have put their planned dollar debt sales on hold after...

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