Exclusive-China instructs banks to roll over local government debt - sources
© Reuters. FILE PHOTO: A taxi drives in front of skyscrapers at the central business district, including AIA Central, China Construction Bank Tower, Bank of China Tower, Cheung Kong Centre, HSBC and Standard Chartered Bank headquarters, in Hong Kong, China Aug
BEIJING - China has instructed state-owned banks to roll over existing local government debt with longer-term loans at lower interest rates, two sources with knowledge of the matter said, as part of Beijing's efforts to reduce local debt risks in a faltering economy. The People's Bank of China last week delivered policies to major state lenders that ordered them to extend terms, adjust repayment plans, and reduce interest rates of outstanding loans to local government financing vehicles , according to the sources.
To ensure lenders do not incur heavy losses from the debt restructuring, interest rates on rolled over loans should not be below China's treasury bond rates, said one source, adding that loan terms should not exceed 10 years.We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other.
{username} Just Now Share Follow this postUnfollow this post Save Saved. See Saved Items . This comment has already been saved in your Saved Items Author's response{commentContent} Reply 00 Report {username} Just NowAuthor's response Share Follow this postUnfollow this post Save Saved. See Saved Items .
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Philippines denounces China for 'dangerous and offensive' actions in South China SeaThe Philippine military has called out China to stop 'unsafe actions' in the South China Sea, after a Chinese navy ship shadowed and attempted to cut off a Philippine navy vessel conducting a resupply mission late last week.
Read more »
Exclusive: Christie's low burn-rate gives him runway to New HampshireChristie is entering the final months of the campaign with no debt and $3.9 million cash on hand.
Read more »
Peloton’s Camila Ramón on Silencing Her Inner ‘Tia Toxica’ and Learning to Love Herself (Exclusive)It took years for Peloton instructor Camila Ramón to make peace with her curves. In an exclusive interview with PEOPLE, she’s revealing how she tuned out negative comments from well-meaning family members. Along the way, she has inspired her fans to do the same.
Read more »
Dolly Parton Says Her Style Was Inspired by Women in the Fredericks of Hollywood Catalogs (Exclusive)In an exclusive conversation with PEOPLE, Dolly Parton opens up about how she has the Fredericks of Hollywood catalogs to thank for her style choices
Read more »
Jane Seymour and Boyfriend John Zambetti Reveal Their Kids Set Them Up (Exclusive)Jane Seymour and boyfriend John Zambetti tell PEOPLE in an exclusive interview that their kids set them up
Read more »