China Allows Two More Local Gov'ts to Issue Bonds

　　China's State Council has approved the trial of an expanded bond selling program which includes two more local governments.

 

　　Ministry¹ of Finance says local governments in Shandong and Jiangsu will now be allowed to sell bonds directly.

 

　　CRI's Xie Zhao has more:

 

　　Guangdong and Zhejiang as well as the cities of Shenzhen and Shanghai have already trialed the bond selling program.

 

　　Now the coastal² provinces of Shandong and Jiangsu have been added to the list.

 

　　Zhao Xijun is Dean of the School of Finance at the RenMin University of China.

 

　　He says the two provinces were chosen due to their economic scales and debt-paying ability:

 

　　"The previous four authorized³ local governments are located in the south-eastern coastal areas. Their economy is developed with huge revenue compared to other local governments. That means they have higher debt-paying ability. The two added provinces are located in coastal areas as well and the scale of their economic output is relatively⁴ huge. Their economic development and their revenues are top across the country. So their debt-paying ability is strong."

 

　　Huo Zhihui is a senior analyst⁵ at China Credit Rating Co.Ltd. He says compared to huge local government debt, the current scale of local governments issuing bonds is too small:

 

　　"The financing demand for local governments is relatively large, because their financial funds cannot meet the demand of the public's livelihood⁶ expenditures⁷, including infrastructure⁸ construction. To some extent, the trial program can ease the current situation. But it has little effect."

 

　　It has been reported some local government debt totals as much as 10-trillion yuan since 2008.

 

　　Zhao Xijun at RenMin University of China is warning that the bond issued by each of the local governments cannot exceed quota⁹ limits set by the State Council, in order to fend¹⁰ off the risk.

 

　　"Considering the possibility of paying-debt in this trial program and the possibility of whole local governments' paying debt, the State Council has set the quota limit.

 

　　The quota of issued bonds should be limited by the local government's ability to repay debt. Then, each government can pay the debt independently and the debt will not affect other related departments and other local governments."

 

　　However, Zhao has emphasized that in the trial program the central government will offer guarantees for local governments if they cannot repay their debts on time.

 

　　He says the central government should have up-to-date information on which local governments have debts or other potential risks.

 

　　For CRI, this is Xie Zhao.

1 ministry   

n.(政府的)部；牧师

参考例句：

• They sent a deputation to the ministry to complain.他们派了一个代表团到部里投诉。
• We probed the Air Ministry statements.我们调查了空军部的记录。

2 coastal   

adj.海岸的，沿海的，沿岸的

参考例句：

• The ocean waves are slowly eating away the coastal rocks.大海的波浪慢慢地侵蚀着岸边的岩石。
• This country will fortify the coastal areas.该国将加强沿海地区的防御。

3 authorized   

a.委任的，许可的

参考例句：

• An administrative order is valid if authorized by a statute.如果一个行政命令得到一个法规的认可那么这个命令就是有效的。

4 relatively   

adv.比较...地，相对地

参考例句：

• The rabbit is a relatively recent introduction in Australia.兔子是相对较新引入澳大利亚的物种。
• The operation was relatively painless.手术相对来说不痛。

5 analyst   

n.分析家，化验员；心理分析学家

参考例句：

• What can you contribute to the position of a market analyst?你有什么技能可有助于市场分析员的职务？
• The analyst is required to interpolate values between standards.分析人员需要在这些标准中插入一些值。

6 livelihood   

n.生计，谋生之道

参考例句：

• Appropriate arrangements will be made for their work and livelihood.他们的工作和生活会得到妥善安排。
• My father gained a bare livelihood of family by his own hands.父亲靠自己的双手勉强维持家计。

7 expenditures   

n.花费( expenditure的名词复数 )；使用；（尤指金钱的）支出额；（精力、时间、材料等的）耗费

参考例句：

• We have overspent.We'll have to let up our expenditures next month. 我们已经超支了，下个月一定得节约开支。 来自《简明英汉词典》
• The pension includes an allowance of fifty pounds for traffic expenditures. 年金中包括50镑交通费补贴。 来自《简明英汉词典》

8 infrastructure   

n.下部构造，下部组织，基础结构，基础设施

参考例句：

• We should step up the development of infrastructure for research.加强科学基础设施建设。
• We should strengthen cultural infrastructure and boost various types of popular culture.加强文化基础设施建设，发展各类群众文化。

9 quota   

n.（生产、进出口等的）配额，（移民的）限额

参考例句：

• A restricted import quota was set for meat products.肉类产品设定了进口配额。
• He overfulfilled his production quota for two months running.他一连两个月超额完成生产指标。

10 fend   

v.照料（自己），（自己）谋生，挡开，避开

参考例句：

• I've had to fend for myself since I was 14.我从十四岁时起就不得不照料自己。
• He raised his arm up to fend branches from his eyes.他举手将树枝从他眼前挡开。