When China’s leaders gather in Beijing for the annual parliament next week, one of the biggest economic risks they’ll need to tackle is the mounting debt of provinces.
A majority of regional governments — at least 17 out 31 — are facing a serious funding squeeze, with outstanding borrowing exceeding 120% of income in 2022, according to Bloomberg calculations based on available official data. That’s the threshold set by the Ministry of Finance to indicate disproportionately high debt risks.
Tianjin, a provincial-level city known for its port and massive overdevelopment, faces the biggest threat, with debt almost three times as large as its income
Bloomberg News | Yahoo Finance