LGFV loans, still a time bomb

Fresh data released by the National Audit Office (NAO) on June 27 reported debt to local government financing vehicles (LGFVs) at Rmb 4,971bn ($769bn, £479bn, €533bn), well below previous estimates by both the China Banking and Regulatory Commission (CBRC) and the People’s Bank of China (PBoC), the central bank. Such a large disparity between the figures leads us to conclude that NAO figures should be discounted.

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• The Big Call

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  Carslberg – tapping the hinterland

  Chongqing Brewery - Capacity ramping up

  Yanjing Brewery – Dominant player in fast-growing markets

  China Resources Enterprise – low-end positioning hurting margins

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• Forbidden City

  US and China bodies to look into accountancy fraud

• The Best of Chinese Commentators

  Milk quality standards criticised

  Will the bullet train strike a blow to airlines?

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