As debt obligations mount, some local governments are pushing banks to extend maturities and cut interest rates, sources said. Local Government Financing Vehicles (LGFVs) have 5.5 trillion yuan ($790 billion) worth of onshore bonds coming due this year, the highest since 2021, according to Fitch.
A sharp drop in income from mainstay land sales and fewer options for raising fresh funds have fuelled concerns about LGFVs’ ability to meet debt obligations and its impact on the broader banking sector and markets.
消息人士表示,随着债务负担的增加,部分地方自治团体正在敦促银行延长到期日和下调利率。 据惠誉称，地方政府融资工具（LGFV）今年到期有5.5万亿元人民币（合7900亿美元）的陆上债券，创下2021年以来最高水平。
主要土地销售收入锐减，筹集新资金的选择减少，使人们更加担心土地基金是否有能力偿还债务，以及它对整个银行业和市场的影响。
