Debt Issuance might Be Needed to Achieve Diversified Development Goal In China
ANBOUND
The Central Bank of China faces difficulty in tight funding and
rising costs despite reducing the reserves; this indicates that the efficiency
of the allocation of financial resources is still low and the fundamental
reason is still systematic problem. Anbound believes that in order to maintain
steady economic growth and diversified development goal, China should not only
think linearly; instead it should also consider the structural defects and
problems of the domestic economy and the world economic situation. Facing a
variety of problems, the situations encountered by China in the next few years
will not be optimistic. To counter these challenges and allow the Chinese
economy to maintain a certain degree of vitality and speed, a large number of
debt issuance is needed to achieve the diversified goal.