Caixin OnlineFinance & EconomicsTop Stories Finance Trusts, Bonds Lead Surge in Credit 'Gambling'
10.26.2012 14:47

Trusts, Bonds Lead Surge in Credit 'Gambling'

Debates over potential risk are not slowing a race to finance local government projects without bank loans
By staff reporter Zhang Yuzhe and Tian Lin
 
a

(Beijing) – Default risks seem remote among local government financing platforms that have raised trillions of yuan since last year via trusts, bank-sponsored wealth management products, securities and bonds – and plan to borrow a lot more.

Most borrowers and lenders converging inside this unconventional credit circle, which has widened dramatically since 2011 in the face of bank loan limits imposed by the central government, are wearing a happy face.

We hope you have enjoyed your free articles for the month
REGISTER to get 5 more free articles, or SUBSCRIBE to get full access to Caixin
Already a subscriber? Log in now
COMMENTS (0)
Sign up to receive our free daily newsletter
Latest Issue
On the Cover:

Take Down

Zhou Yongkang's rise from rural China, the empire he built and the stunning decision to topple him


Issue 81
September, 2014

POPULAR GALLERIES

SUBSCRIPTIONS

Caixin-China
Economics & Finance
Latest Issue:
Take Down
Zhou Yongkang's rise from rural China, the empire he built and the stunning decision to topple him
Issue 81
09.01.2014

Subscribe       |       Newsletter        |        FAQ