Report Summary - The investment rating of the industry is not mentioned in the report [4] - The report focuses on the economic, fiscal, and debt situations of Sichuan Province and its prefecture - level cities, as well as the conditions of local urban investment enterprises. It points out that Sichuan has obvious location and resource advantages, with its economy growing steadily and the government actively addressing debt issues. However, there are still challenges such as uneven regional development and debt pressure [4][5][6] Group 1: Sichuan Province's Economic and Fiscal Strength Economic Development - Sichuan has significant location and resource advantages, with well - developed land and air transportation. Its economic aggregate ranks high in China, but the urbanization level is relatively low, and the per - capita GDP is in the middle - lower range. The tertiary industry is the main driving force for economic growth [7][10][11] - The construction of the Chengdu - Chongqing Economic Circle is advancing, with major projects having a total investment of over 12 trillion yuan. In 2025, the planned investment is about 3.7 trillion yuan, and as of August 2025, the investment completion rate is 75.29% [12][14] - Sichuan has introduced a series of policies in 2025 to boost consumption, promote industrial transformation and upgrading, and improve economic recovery [14][15] Fiscal Strength and Debt - Sichuan's general public budget revenue ranks 7th in China, but the fiscal self - sufficiency rate is low. The government - funded revenue has decreased due to the real estate market, while the superior subsidy revenue ranks first in the country, supporting the comprehensive fiscal strength. The comprehensive fiscal strength ranks 4th in China [17][18][21] - By the end of 2024, Sichuan's government debt balance was 2.40289 trillion yuan, with a debt ratio of 143.87% and a debt - to - GDP ratio of 37.14%. The government has been actively reducing debt through measures such as obtaining replacement bonds, introducing incentive mechanisms, and strengthening debt management since 2024 [24][26][27] Group 2: Economic and Fiscal Strength of Sichuan's Prefecture - level Cities Economic Development - The economic development of Sichuan's prefecture - level cities is uneven. The Chengdu Plain Economic Zone and the Southern Sichuan Economic Zone have better industrial bases. Chengdu has far stronger economic strength than other cities, and Panzhihua has the highest per - capita GDP in the province [28][29][33] Fiscal Revenue - In 2024, most prefecture - level cities' general public budget revenues increased, with growth rates concentrated between 2% - 10%. The government - funded revenues of most cities decreased, and the superior subsidy revenue contributed significantly to the comprehensive fiscal strength [37][38][39] Debt - The government debt balances of all prefecture - level cities have increased, and the debt ratios have generally risen. Zigong, Suining, Bazhong, and Neijiang have relatively high debt ratios. All cities are following Sichuan's overall debt - reduction strategy [48][49] Group 3: Sichuan's Urban Investment Enterprises Overview - As of October 22, 2025, there are 218 urban investment enterprises with outstanding bonds in Sichuan. Most of them are at the district - county level, and the credit ratings are mainly AA. Chengdu has the largest number of such enterprises [52] Bond Issuance - In 2024, the number and scale of bond issuances by Sichuan's urban investment enterprises decreased slightly. From 2024 to September 2025, most cities' urban investment enterprises had a net outflow of bond financing, and the outstanding bond balances decreased [54][55][57] Debt - paying Ability - The total debt of most urban investment enterprises has increased, with the debt structure mainly composed of bank financing and bond financing. The overall debt - to - capital ratio has slightly increased, and the cash - to - short - term debt ratio has decreased. Suining's urban investment enterprises face significant short - term debt - paying pressure [60][61][65] Support from Fiscal Revenue - Except for Liangshan and Ya'an, the ratio of "total debt of bond - issuing urban investment enterprises + local government debt" to comprehensive fiscal revenue in other cities exceeds 200%, with Chengdu exceeding 500% [73]

Group 1: Report Investment Rating - No information provided on the industry investment rating Group 2: Core Viewpoints - In the context of preventing and resolving debt risks, the report analyzes the continuous overdue situation of bonds - issuing urban investment enterprise bills from January to July 2025, providing data support and decision - making references for the dynamic assessment of urban investment industry debt risks [4] - From January to July 2025, the number of bond - issuing urban investment enterprises with continuous bill overdue and the frequency of overdue increased year - on - year. AA - rated and district - county - level platforms are still the main overdue groups, and the risk differentiation effect of administrative levels and credit ratings is further strengthened. Risks are mainly concentrated in Shandong, Yunnan, Henan, Guizhou and other provinces. Overdue entities face significant short - term concentrated debt repayment pressure, and some have experienced non - standard financing defaults. Attention should be paid to the cross - default risks caused by credit risk transmission [23] Group 3: Summary by Catalog I. Overview of Urban Investment Enterprise Bill Overdue (1) Changes in the Number of Bond - Issuing Urban Investment Entities with Continuous Bill Overdue - From January to July 2025, the number of bond - issuing urban investment enterprises with continuous bill overdue increased year - on - year, reflecting the low priority of bill payment when enterprise liquidity pressure increases. These enterprises were included in the continuous bill overdue list 376 times, a 33.81% increase year - on - year, involving 60 enterprises, a 15.38% increase year - on - year. The number of such enterprises remained relatively stable from January to July 2025, with the number of entities on the list each month ranging from 53 to 55, and the number of new entities each month being 2, 2, 0, 0, 0, 1, 1 respectively [5] (2) Credit Rating of Bond - Issuing Urban Investment Entities with Continuous Bill Overdue - From January to July 2025, bond - issuing urban investment enterprises with bill overdue were mainly AA - rated, and the proportion increased. AA - rated enterprises accounted for 63.33% (38 enterprises, a 15.15% increase year - on - year), followed by AA + - rated enterprises, accounting for 21.67% (13 enterprises, unchanged year - on - year) [8] (3) Administrative Level of Bond - Issuing Urban Investment Entities with Continuous Bill Overdue - From January to July 2025, the proportion of district - county - level urban investment enterprises with continuous bill overdue increased year - on - year, and the administrative level further declined. Among them, district - county - level platforms accounted for 63.33% (38 enterprises), prefecture - level platforms accounted for 28.33% (17 enterprises), with no provincial platforms [11] (4) Geographical Distribution of Bond - Issuing Urban Investment Entities with Continuous Bill Overdue - From January to July 2025, the geographical distribution of bond - issuing urban investment enterprises with continuous bill overdue was highly concentrated, mainly in Shandong, Yunnan, Henan, and Guizhou. The frequent occurrence of bill overdue in these regions may have a negative impact on the financing environment and increase the liquidity pressure of urban investment entities in the region. In 2025, 11 provinces were involved in bill overdue risks, with Jilin Province newly added compared to the same period last year, and Gansu and Inner Mongolia removed. Shandong had the largest number of such enterprises (23, accounting for 38.33%), followed by Yunnan (11), Henan (8), and Guizhou (7). In terms of the proportion of the number of enterprises with bill overdue to the total number of bond - issuing urban investment enterprises in each province, Qinghai, Yunnan, and Shandong ranked in the top three [15] (5) Outstanding Bonds of Bond - Issuing Urban Investment Entities with Continuous Bill Overdue - From January to July 2025, the concentrated maturity of outstanding bonds of urban investment entities with continuous bill overdue and insufficient financing ability formed a "scissors gap", and they faced significant short - term concentrated debt repayment pressure. Non - standard financing products may be the weak link for risk exposure, and attention should be paid to cross - default risks caused by credit risk transmission. As of September 15, 2025, the total outstanding bond balance of 60 bond - issuing urban investment entities with continuous bill overdue from January to July 2025 was 126.999 billion yuan. Among them, corporate bonds accounted for 52.86% (67.134 billion yuan), medium - term notes accounted for 19.06% (24.208 billion yuan), private placement notes accounted for 17.49% (22.213 billion yuan), and short - term and ultra - short - term financing bonds accounted for 10.59% (13.444 billion yuan). In terms of maturity distribution, 39.53% (50.202 billion yuan) of the outstanding bonds will mature within 1 year, and 24.91% (31.637 billion yuan) will mature within 1 - 3 years [17] - The proportion of short - term bond maturity of overdue entities is nearly 40% (compared with 23.09% for non - overdue entities), and they face significant short - term concentrated debt repayment pressure. In 2024, the total net cash flow from financing activities of these 60 entities was - 13.356 billion yuan, with an average of - 223 million yuan, while the average for non - overdue entities was 817 million yuan, reflecting the difficult financing situation of overdue entities. Although the net cash outflow from financing activities of these 60 entities from January to July 2025 decreased significantly compared to the same period in 2024, it was still in a net outflow state, indicating that they still faced financing contraction pressure [18][21] - As of the end of August 2025, 10 of the 60 entities with continuous bill overdue had defaulted on non - standard financing. All of them had continuous bill overdue before 2025, and they were all district - county - level entities. Among them, 8 were AA - rated and 2 were AA + - rated. Geographically, 5 were in Shandong, 2 in Yunnan, 2 in Henan, and 1 in Guizhou. Under the triple pressure of "concentrated maturity pressure of outstanding bonds + exhausted financing cash flow + non - standard default of some entities", cross - default risks should be noted [22]