China Daily with the report on stabilising leverage ratios in China
- The country's macro leverage ratio－the percentage of debt in the government, household and corporate sectors to total GDP－increased by 0.7 percentage point in the second quarter to 249.5 percent, down from the 5.1 percentage growth in the first three months, according to a report from the National Institution for Finance and Development, a government-backed financial think tank.
- "debt level was stabilized," it said.
- "For the second half of this year, in the face of the economic growth pressure, "stabilizing economic growth should be prior to deleveraging", said Li Yang, head of the institution.
More here (Check it out on adding to the quota of special local government bonds－a type of bond used mainly for infrastructure construction financing, starting from the fourth quarter)
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Any fiscal boost from China, should it come, will be a positive for China-proxy trades.
