1. Report Industry Investment Rating No information provided in the content. 2. Core Viewpoints of the Report - The Ministry of Finance plans to revitalize 50 billion yuan of local government debt balance limits and advance the issuance of new local government debt quotas for 2026, which will help accelerate local debt resolution, government arrears clearance, and support infrastructure construction in the fourth quarter of 2025 and early 2026, while improving the liquidity of relevant urban investment enterprises [6][8]. - Hunan Province has issued a supervision and management method for village - level debt and creditor's rights, aiming to manage village - level debt in a more detailed and targeted manner [6][14]. - This week, 14 urban investment enterprises prepaid bond principal and interest, and 1 urban investment bond was cancelled for issuance [6][16][17]. 3. Summary by Relevant Catalogs 3.1 News Review - **Revitalizing 50 billion yuan of local government debt balance limits and advancing 2026 new local debt quotas**: The 50 - billion - yuan balance limit arrangement features scale expansion, expanded use from debt resolution to project construction with a focus on large economic provinces, and coordinated implementation with 50 - billion - yuan new policy - based financial instruments. The advance - issued 2026 new local debt quota is estimated to be between 176 billion - 264 billion yuan for special bonds and 32 billion - 48 billion yuan for general bonds [6][8][9]. - **Hunan's village - level debt management method**: It includes creditor's rights and investment management, stock debt management, new debt management, etc. Stock debt will be resolved through multiple means, and new debt will be strictly controlled at the source [14]. - **Prepayment of bond principal and interest by urban investment enterprises**: 14 urban investment enterprises prepaid the principal and interest of 15 bonds, with a total scale of 4.353 billion yuan. Most of them are from central regions and have an AA - level credit rating [16]. - **Cancellation of urban investment bond issuance**: The "25 Xianggaosu MTN019" was cancelled due to market fluctuations, with a planned issuance scale of 600 million yuan [17]. 3.2 Issuance of Local Government Bonds and Urban Investment Enterprise Bonds - **Local government bonds**: This week, the issuance and net financing scale of local government bonds decreased. The 2 - trillion - yuan replacement quota has only 7.418 billion yuan left, and only Henan Province has not completed the issuance. The weighted average issuance term was 16.21 years, and the weighted average issuance interest rate decreased to 2.18% [19]. - **Urban investment bonds**: The issuance and net financing scale of urban investment bonds increased this week. The overall issuance interest rate was 2.27%, and the issuance spread narrowed to 76.45BP. The issuance was mainly in the form of private placement bonds and general medium - term notes, with a 3 - year term and AA+ - level issuers [24]. 3.3 Trading of Local Government Bonds and Urban Investment Enterprise Bonds - **Funding situation**: The central bank conducted 637.1 billion yuan of reverse repurchase operations this week, with a net withdrawal of 497.9 billion yuan. Short - term funding rates generally increased [31]. - **Credit rating adjustment**: On September 24, Orient Jincheng upgraded the credit rating of Suqian New City Holdings Group Co., Ltd. from AA to AA+ [31]. - **Credit events and regulatory penalties**: No urban investment credit risk events occurred this week [31]. - **Local government bonds**: The trading volume of local government bonds was 318.178 billion yuan, an increase of 61.64%. The maturity yields fluctuated, with an average increase of 2.20BP [31]. - **Urban investment bonds**: The trading volume of urban investment bonds was 338.483 billion yuan, an increase of 82.88%. Most maturity yields decreased, with an average decline of 1.89BP. The spreads of 1 - year, 3 - year, and 5 - year AA+ urban investment bonds narrowed [32]. - **Abnormal trading of urban investment bonds**: 16 urban investment entities had 16 abnormal bond trades, with an increase in the number of entities, bonds, and trading times compared to last week [32]. 3.4 Important Announcements of Urban Investment Enterprises This week, 58 urban investment enterprises announced changes in senior management, legal representatives, directors, supervisors, etc., as well as changes in controlling shareholders, actual controllers, and equity/asset transfers [35].