Jul
24
China State Firms Help Offset Outflows With Overseas Debt
By-
Dollar bond issuance surges to quarterly record $18.7 billion
-
Shows efforts to limit outflow pressures, RBS economist says
China’s national team is getting bigger.
After stepping into the currency and equity markets repeatedly over the past year to stem declines, government-linked entities are now spurring capital inflows by raising money offshore and bringing it home. Sales of dollar bonds by some of China’s biggest state-run firms rose to a record $18.7 billion in the April-June period, about 80 percent higher than the average of the previous four quarters. In comparison, overall issuance by Chinese companies shrank 11 percent as a weakening yuan drove up the cost of servicing overseas debt…
China State Firms Help Offset Outflows With Overseas Debt
