China Banks Rush to Raise Funds After Cash Crunch Spooks Market bnnbloomberg.ca - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bnnbloomberg.ca Daily Mail and Mail on Sunday newspapers.
Chinese banks have ramped up their borrowing of short-term funds, a sign that fears of a cash crunch still loom large, even as Beijing sought to calm traders after a recent liquidity squeeze. Onshore lenders this week doubled their issuance of so-called negotiable certificates of deposit, a form of debt…
Figures show the extent that fiscal losses have had in some Chinese provinces and municipalities as investments have slumped and revenue wanes, while questions remain about Beijing’s debt-swap plan.
Debt problems that have manifested in Evergrande and Country Garden cases are prompting China’s central bank to step up risk-monitoring of lenders and local government financing vehicles.
Standing Committee of China national legislature will meet on Friday to discuss a bill to approve front-loading the 2024 bond allocation as provincial and municipal authorities struggle to raise funds.