ICBC and BOC line up issuance plans for 60 billion yuan worth of total loss-absorbing capacity (TLAC) bonds as Chinese G-SIBs (global systemically important banks) are expected to sell 440 billion yuan of these newly introduced bonds.

China’s shock credit contraction is adding pressure on the government to spend more money – and on the central bank to help.

The incentives will inject a dose of optimism and confidence in the capital markets, enhance cross-border trading schemes and boost the yuan, tax experts say.

State media article on Wednesday says it is ‘certain’ that China’s central bank will participate in treasury bond trading amid better coordination with the finance ministry.

The People’s Bank of China has indicated its approval for trading treasury bonds on the secondary market, signalling more robust action to boost liquidity and fuel growth is no longer out of the question.

China could face a third wave of corporate bond defaults, induced by high financing costs, slow economic growth and tighter government policies, S&P analysts said. Local government financing vehicles may be the weakest link.

Asia official with Washington-based agency points to the PBOC’s policy moves, as well as China’s infrastructure spending, as economic bellwethers in the face of headwinds.

Vanke has held discussions with parties including state-owned investment company Guangdong Holdings and a Tianjin-based state-owned firm to exit its investment, said people familiar with the matter.

Hong Kong is building an arsenal to assist the world with raising funds for managing losses from natural disasters, the Insurance Authority said. It is discovering more issuers, investors and data, as well as cultivating its modelling capabilities and talent.

Shanghai-based developer, facing 61.86 billion yuan (US$8.5 billion) in debts, says it needs more time to consider restructuring plan amid slumping sales and slow asset disposal as the property market crisis grinds on.

Truong My Lan, 67, was found guilty of embezzlement, bribery, and banking regulation violations for orchestrating a massive fraud using hundreds of ghost companies.

Ministry of Finance says it is a ‘pity’ to see Fitch Ratings revise the outlook on China’s sovereign debt from stable to negative due to concerns over property and public finance stress.

Bond funds, driven by rate cut hopes, outperformed their stock market peers, which helped them gain a dominant share of issuance in the first quarter

Chinese developers suffered another dismal month in March as new home sales tumbled 46 per cent from a year earlier. It would be premature to expect a turnaround amid an ongoing liquidity crisis.

Dalian Wanda Group, the parent of Wanda Commercial and the country’s largest shopping centre operator, has been grappling with a liquidity crisis over the past two years, and has been selling assets to repay debt.

Even after President Xi Jinping has asked for China’s central bank to trade government bonds, the outcome is likely to remain limited as the bank does not want to trigger negative outcomes for inflation and exchange rates.

One of China’s largest private education operators, XJ International, formerly Hope Education Group, is facing a winding up petition brought by international bondholders after it failed to meet a repayment deadline.

Distressed Chinese property developer downplays the possibility of a liquidation after it hired the financial advisory firm to assess the amount of money creditors could recover in such an event.

A former central bank adviser says China’s 1 trillion yuan (US$139 billion) of ultra-long term special bonds should be used to improve services for migrant workers as it seeks to boost consumption to drive its economy.

Beijing’s new off-budget treasury bonds will span decades, and they have been sold only 3 times before – in some of the most challenging economic times.

Readers propose a possible new source of funding for the government, and suggest how cities in the Greater Bay Area could cooperate to boost the nighttime economy.

The impact of Monday’s downgrade is ‘controllable’, the second-largest Chinese developer says. Its shares rose more than 10 per cent to HK$6.30 on Tuesday on belief commercial banks will raise up to US$11.1 billion to repay its debts.

The international ratings agency has stripped state-backed property giant China Vanke of its investment-grade credit rating amid concerns over its liquidity and ability to access funding amid declining sales.

The country’s second-largest developer has assured investors it has the funds in place to repay its outstanding offshore debts coming due soon, as its shares and bonds tumbled amid rumours about liquidity distress.

Finance chief also issues rejoinder after predecessor slams bond issuance proposal in new budget, says past administration failed to boost land supply at the time.

Finance chief shared in Wednesday’s budget address plans to issue HK$120 billion in silver, green and infrastructure bonds for financial year 2024-25.

Government anticipates strategy will help achieve budget surplus for 2025-26 financial year, with authorities to issue silver, green and infrastructure bonds over next five years.

The move aims to ‘efficiently convert residents’ bank savings into bond investments’ and help develop the country’s US$22 trillion bond market, central bank says.