Several Chinese provinces disclose allocations from $71 bln additional debt quota

To stabilize the economy and contain financial risks, China's State Council has permitted local governments to issue an additional Yuan 500 billion ($70.8 billion) in bonds in Q4 of this year. Given the substantial strain on local fiscal balances, provinces and cities that receive larger quotas will gain more resources to advance major projects and mitigate debt pressures.

Based on information released by local finance departments, as of December 10, at least 18 provincial-level regions and major cities have adjusted their budgets. A key reason is that the Ministry of Finance has distributed part of the Yuan 500 billion in additional local government debt quota to various