China’s Government Debt Supply Surges in October to 2023 High
- Issuance picks up on sovereign debt, local debt swap program
- PBOC may step up liquidity injection through RRR cut: Citic
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China’s central and local governments extended their borrowing spree in October to reach a new monthly high, buoyed by Beijing’s fiscal stimulus to support the economy.
The country is on track to sell 2.6 trillion yuan ($360 billion) of onshore sovereign notes and local government bonds during the month, higher than any other month this year, according to Bloomberg calculation based on Chinabond data. The October total is also 63% above the monthly issuance average in the first nine months.