A growing number of Chinese local government financing vehicles (LGFV) are failing to repay money they owe to suppliers in the form of commercial paper debt, according to some analysts, underscoring growing financial stress among companies tasked with raising funds to support infrastructure investment.
Caixin
China's local government financing vehicles struggle to pay IOUs
More LGFVs failing to redeem maturing commercial paper issued to suppliers
Since last year, an increasing number of local governments have been trying to fill the hole in their budgets created by the collapse in the property market, relying more on local government financing vehicles. © Reuters
Read Next
Latest on Caixin
