Local Financing Is the Key to Clear Up Local Debts
ANBOUND
2015 will be a crucial year to improve debt financing mechanism of local governments. In the opinion of ANBOUND research team, the key to solve the problem is finding ways of local government financing. Temporarily, local government bonds and PPP aren't very effective. The central government needs to find some transitional methods to provide buffer for local finance. Extending the transitional period of "Document No.43" and keeping some platform companies are both practical methods.