Core Viewpoint - Local governments are accelerating borrowing to invest in major projects and repay old debts to boost the economy and mitigate risks [1] Group 1: Borrowing Scale and Purpose - In the first eight months of this year, local governments issued approximately 7.7 trillion yuan in bonds, a year-on-year increase of 42%, marking a historical high for the same period [1] - The borrowing scale is significant, with local government fiscal revenue for the first seven months at about 9.8 trillion yuan, while borrowing reached approximately 6.7 trillion yuan, accounting for nearly 70% of the revenue [1] - The primary expenditure of the borrowed funds is for debt repayment, with about 4.77 trillion yuan used for this purpose, representing around 62% of the total borrowing [5] Group 2: Refinancing Bonds - The two main uses of refinancing bonds are to repay maturing government bond principal and to replace hidden debts, effectively extending repayment periods and reducing interest burdens [2] - Nearly 2 trillion yuan of the refinancing bonds issued this year has been allocated to replace hidden debts, which is a key strategy for the central government to mitigate local government debt risks [2] Group 3: Special New Bonds - Of the 3.8 trillion yuan in new bonds issued, approximately 3.3 trillion yuan are special bonds, with a year-on-year increase of 27%, accounting for about 75% of the planned issuance for the year [4] - Special new bonds are also being used to replace hidden debts and repay overdue corporate payments, with the issuance scale exceeding previous market expectations [4][5] - The expected amount for new bonds aimed at resolving overdue corporate payments is around 200 billion yuan [5] Group 4: Investment Allocation - In the first eight months, about 2.3 trillion yuan of new special bond funds were allocated to major project construction, with 28% directed towards municipal and industrial park infrastructure, 18% towards transportation infrastructure, and 14% towards land reserves [5][6] - The negative list management approach for special bonds this year has expanded the investment scope, allowing funds to be directed towards land reserves, which totaled approximately 324 billion yuan [6] Group 5: Debt Risk Management - As of July 2025, the total local government debt was approximately 52.76 trillion yuan, remaining within the limit of about 57.99 trillion yuan, indicating that overall debt risk is manageable [6]

Core Viewpoint - Local governments are accelerating borrowing to invest in major projects and repay old debts to boost the economy and mitigate risks [1] Group 1: Borrowing Scale and Purpose - In the first eight months of this year, local governments issued approximately 7.7 trillion yuan in bonds, a year-on-year increase of 42%, marking a historical high for the same period [1] - Of the 7.7 trillion yuan borrowed, about 4.77 trillion yuan was used for debt repayment, accounting for approximately 62% of the total borrowing [3] - The remaining nearly 3 trillion yuan was primarily allocated for major project construction [3] Group 2: Refinancing Bonds - Nearly 2 trillion yuan of the refinancing bonds issued this year was used to replace existing hidden debts, which is a key strategy for the central government to mitigate local government debt risks [2] - The refinancing bonds are aimed at extending repayment periods and reducing interest burdens, thereby freeing up funds for local governments to support livelihoods and promote development [2] Group 3: Special New Bonds - Special new bonds, which are generally used for major public projects, have also been utilized for replacing hidden debts or repaying overdue corporate payments, referred to as "special new special bonds" [2] - The issuance of special new bonds has exceeded market expectations, with nearly 1 trillion yuan issued for replacing hidden debts, surpassing the previously set target of 800 billion yuan [2][3] Group 4: Investment Allocation - Among the nearly 2.3 trillion yuan allocated for project construction, approximately 28% was directed towards municipal and industrial park infrastructure, 18% towards transportation infrastructure, and 14% towards land reserves [3] - The management of special bonds has adopted a "negative list" approach this year, significantly broadening the investment scope, including land reserves which received about 324 billion yuan [4] Group 5: Debt Risk Management - The overall risk of local government debt is considered manageable, with the total local government debt balance projected to be around 52.76 trillion yuan by July 2025, remaining within the limit of approximately 57.99 trillion yuan [4]

Core Viewpoint - Local governments are accelerating borrowing to invest in major projects and repay old debts to boost the economy and mitigate risks [2][3]. Group 1: Borrowing Scale and Purpose - In the first eight months of this year, local governments issued approximately 7.7 trillion yuan in bonds, a year-on-year increase of 42%, marking a historical high for the same period [2]. - Of the 7.7 trillion yuan in bonds, about 3.8 trillion yuan were refinancing bonds, which increased by 64% year-on-year, while 3.9 trillion yuan were new bonds, up 26% year-on-year [3]. - Approximately 4.77 trillion yuan, or 62% of the total borrowing, was used for repaying old debts, while nearly 3 trillion yuan was allocated for major project construction [8]. Group 2: Special New Bonds - Special new bonds, which are primarily used for major public projects, have also been utilized for refinancing hidden debts and repaying overdue corporate payments, referred to as "special new special bonds" [6]. - The issuance of special new bonds exceeded market expectations, with nearly 1 trillion yuan issued for refinancing hidden debts, surpassing the previously stated 800 billion yuan target [6][7]. - It is estimated that around 2 trillion yuan of new special bonds will be allocated to resolve overdue corporate payments this year [7]. Group 3: Investment Allocation - Among the nearly 2.3 trillion yuan allocated for project construction, approximately 28% was directed towards municipal and industrial park infrastructure, 18% towards transportation infrastructure, and 14% towards land reserves [9]. - The implementation of a "negative list" management approach has significantly broadened the investment scope for special bonds, allowing for land reserve investments, which totaled about 324 billion yuan in the first eight months [9]. Group 4: Debt Risk Management - As of July 2025, the total local government debt is projected to be approximately 52.76 trillion yuan, remaining within the limit of about 57.99 trillion yuan, indicating that local debt risks are generally manageable [10].

Core Viewpoint - Local governments are accelerating borrowing to fund major projects and repay old debts, aiming to boost the economy and mitigate risks [2][3]. Group 1: Borrowing and Debt Management - In the first eight months of this year, local governments issued approximately 7.7 trillion yuan in bonds, a year-on-year increase of 42%, marking a historical high for the same period [2]. - Of the 7.7 trillion yuan in bonds issued, about 3.8 trillion yuan were refinancing bonds, which increased by 64% year-on-year, while new bonds issued amounted to approximately 3.9 trillion yuan, up 26% year-on-year [3]. - Approximately 4.77 trillion yuan, or about 62% of the total borrowing, was allocated to repay old debts, with the remaining nearly 3 trillion yuan primarily directed towards major project construction [6]. Group 2: Allocation of Funds - The funds from newly issued bonds are primarily used for significant public welfare projects, with about 2.3 trillion yuan of the new special bond funds allocated to project construction [5]. - The distribution of the special bond funds includes approximately 28% for municipal and industrial park infrastructure, 18% for transportation infrastructure, 14% for land reserves, and 12% for affordable housing projects [6][7]. - The new special bonds also include around 0.97 trillion yuan used for replacing hidden debts and settling overdue payments to enterprises, which is referred to as special new special bonds [5][6]. Group 3: Regulatory Changes and Market Impact - This year, the management of special bonds has adopted a "negative list" approach, significantly broadening the areas eligible for investment, including land reserves [7]. - The total local government debt balance as of July 2025 is approximately 52.76 trillion yuan, remaining within the limit of about 57.99 trillion yuan, indicating that local debt risks are generally manageable [7].

Report Industry Investment Rating - Not provided in the content Core Viewpoints - From July 14 to July 20, local government bonds totaling 2511.83 billion yuan were issued, including 1890.46 billion yuan in new bonds and 621.37 billion yuan in refinancing bonds. From July 21 to July 27, the planned issuance of local government bonds is 3757.55 billion yuan, including 2287.06 billion yuan in new bonds and 1470.49 billion yuan in refinancing bonds [2][4][5]. - As of July 20, the total announced issuance of the fourth - round special refinancing bonds is 41940.12 billion yuan, with 18054.87 billion yuan announced in 2025. The top three provinces or municipalities with the largest announced issuance are Jiangsu, Shandong, and Sichuan. The total announced issuance of special new special - purpose bonds in 2025 is 4407.33 billion yuan, and since 2023, it has been 16312.46 billion yuan. Jilin Province plans to issue 26 billion yuan of special bonds for small and medium - sized banks on July 22, with a 10 - year term, and the funds are planned to be injected into Jilin Rural Commercial Bank [6]. Summary by Directory Local Bond Actual Issuance and Forecast Issuance - **Actual Issuance and Pre - issuance Disclosure**: From July 14 to July 20, the net supply of local government bonds was 1505 billion yuan; from July 21 to July 27, the forecast net supply is 2929 billion yuan [13][15]. - **Comparison of Planned and Actual Issuance**: The document presents the planned and actual issuance of local government bonds in June and July, as well as the issuance plan, actual issuance, and net financing situation of local government bonds in recent months [17][19][22]. Local Bond Net Supply - **New Bond Issuance Progress**: As of July 20, the issuance progress of new general bonds was 60.25%, and that of new special - purpose bonds was 53.92% [26]. - **Refinancing Bond Net Supply**: The document shows the cumulative scale of refinancing bonds minus local government bond maturities from 2021 to 2025 [26]. Special Bond Issuance Details - **Special Refinancing Bond Issuance Statistics**: As of July 20, the statistics of special refinancing bonds show the issuance amounts of different rounds in various regions [30]. - **Special New Special - purpose Bond Issuance Statistics**: As of July 20, the statistics of special new special - purpose bonds show the issuance amounts in 2023, 2024, and 2025 in various regions [33]. Local Bond Investment and Trading - **Primary - Secondary Spread**: The document shows the primary - secondary spread of local government bonds [37]. - **Regional Secondary Spread**: The document presents the secondary spreads of different regions from May to July 2025 [40]. New Special - purpose Bond Investment Directions - **Monthly Statistics of Project Investment Directions**: The document shows the investment directions of new special - purpose bonds, and the latest month's statistics only consider the issued new bonds [43].

Report Industry Investment Rating No relevant content provided. Core Viewpoints - From June 23 - June 29, local government bonds are expected to be issued worth 5856.5 billion yuan, including 4583.2 billion yuan in new bonds (515.2 billion yuan in new general bonds and 4068.0 billion yuan in new special bonds) and 1273.2 billion yuan in refinancing bonds (586.8 billion yuan in refinancing general bonds and 686.4 billion yuan in refinancing special bonds) [2][6]. - From June 16 - June 22, local government bonds were actually issued worth 2617.5 billion yuan, including 697.2 billion yuan in new bonds (272.5 billion yuan in new general bonds and 424.8 billion yuan in new special bonds) and 1920.3 billion yuan in refinancing bonds (630.5 billion yuan in refinancing general bonds and 1289.8 billion yuan in refinancing special bonds) [2][7]. Summary by Related Catalogs Local Bond Actual Issuance and Forecast Issuance - The net supply of local government bonds from June 16 - June 22 was 1243 billion yuan, and the forecasted net supply from June 23 - June 29 is 5044 billion yuan [15]. - Comparisons of planned and actual issuances of local government bonds in June, July, and recent months are presented, including details of new bonds, new general bonds, new special bonds, and refinancing bonds [17][19][23]. Local Bond Net Supply - As of June 22, the issuance progress of new general bonds was 48.53%, and that of new special bonds was 37.56% [28]. - The cumulative scale of the difference between refinancing bonds and local government bond maturities as of June 22 is shown [28]. Special Bond Issuance Details - As of June 22, a total of 41653.80 billion yuan of the fourth - round special refinancing bonds has been disclosed, with 17768.55 billion yuan disclosed in 2025 and an additional 490.70 billion yuan to be disclosed next week. The top three regions in terms of disclosed scale are Jiangsu, Shandong, and Sichuan [8]. - As of June 22, a total of 4071.42 billion yuan of special new special bonds has been disclosed in 2025, and 15976.56 billion yuan has been disclosed since 2023. The top three regions in terms of disclosed scale are Jiangsu, Hubei, and Xinjiang [8]. Local Bond Investment and Trading - The first - and second - level spreads of local government bonds are presented, including changes over time and differences among different regions [39][42]. New Special Bond Investment Directions - The investment directions of new special bonds are presented, with the latest monthly statistics only considering issued new bonds [44].

Report Industry Investment Rating - No relevant content provided Core View - The report presents basic data including the ChinaBond Composite Index at 254.4, the ChinaBond Long/Medium and Short - term Index at 245.4/209.1, the 10 - year inter - bank treasury bond yield at 1.65, and the enterprise/company/convertible bond scales at 70.2/23.7/6.9 trillion respectively [4] Summary by Related Catalog Government Debt Issuance - **Total Net Financing of Treasury Bonds and New Local Bonds**: In the 24th week (6/9 - 6/15), it was 2704 billion yuan, and in the 25th week (6/16 - 6/22), it was 2048 billion yuan. As of the 24th week, the cumulative general deficit was 5.1 trillion yuan, with a progress of 43.4%, exceeding the same period last year [1][7] - **Net Financing of Government Bonds**: In the 24th week, it was 2190 billion yuan, and in the 25th week, it was 2594 billion yuan. As of the 24th week, the cumulative amount was 6.8 trillion yuan, 3.6 trillion yuan more than the same period last year, mainly due to the rapid issuance of special bonds for replacing implicit debts and treasury bonds [1][7] - **Net Financing of Treasury Bonds**: In the 24th week, it was 2621 billion yuan, and in the 25th week, it was 1351 billion yuan. The total annual net financing of treasury bonds is 6.66 trillion yuan. As of the 24th week, the cumulative amount was 3.1 trillion yuan, with a progress of 47.1%, exceeding the same period in the past five years [1][8] - **Net Financing of Local Bonds**: In the 24th week, it was - 430 billion yuan, and in the 25th week, it was 1243 billion yuan. As of the 24th week, the cumulative amount was 3.7 trillion yuan, 2.1 trillion yuan more than the same period last year [1][10] - **New General Bonds**: In the 24th week, 13 billion yuan was issued, and in the 25th week, 272 billion yuan was issued. The local deficit in 2025 is 8000 billion yuan. As of the 24th week, the cumulative issuance was 3610 billion yuan, with a progress of 45.1%, exceeding the same period last year [1][10] - **New Special Bonds**: In the 24th week, 71 billion yuan was issued, and in the 25th week, 425 billion yuan was issued. The planned issuance of new special bonds in 2025 is 4.4 trillion yuan. As of the 24th week, the cumulative issuance was 1.6 trillion yuan, with a progress of 37.5%, exceeding the same period last year. Special new special bonds of 3196 billion yuan and land reserve special bonds of 1699 billion yuan have been issued. The cumulative disclosed acquisition of idle land projects covers 4176 parcels, with a capital scale (including proposed) of about 4564 billion yuan [2][14] - **Special Refinancing Bonds**: In the 24th week, 267 billion yuan was issued, and in the 25th week, 527 billion yuan was issued. As of the 24th week, the cumulative issuance was 1.7 trillion yuan, with an issuance progress of 84% [2][28] - **Urban Investment Bonds**: In the 24th week, the net financing was - 6 billion yuan, and in the 25th week, it is expected to be - 383 billion yuan. As of this week, the balance of urban investment bonds is about 10.4 trillion yuan [2][30]

Report Industry Investment Rating No relevant content provided. Core Viewpoints - From June 9 to June 15, local government bonds are expected to be issued worth 10.7786 billion yuan, including 0.8372 billion yuan in new bonds (0.13 billion yuan in new general bonds and 0.7072 billion yuan in new special bonds) and 9.9414 billion yuan in refinancing bonds (5.9343 billion yuan in refinancing general bonds and 4.007 billion yuan in refinancing special bonds) [2][6]. - From June 2 to June 8, local government bonds were actually issued worth 10.9595 billion yuan, including 1.598 billion yuan in new bonds (0.8676 billion yuan in new general bonds and 0.7304 billion yuan in new special bonds) and 9.3615 billion yuan in refinancing bonds (6.0079 billion yuan in refinancing general bonds and 3.3536 billion yuan in refinancing special bonds) [2][7]. - As of June 8, the total disclosed issuance of the fourth - round special refinancing bonds reached 406.361 billion yuan, with 167.5085 billion yuan disclosed in 2025 and an additional 2.6693 billion yuan to be disclosed next week. The top three provinces or municipalities with separately - planned budgets in terms of disclosed issuance are Jiangsu (56.47 billion yuan), Shandong (23.6072 billion yuan), and Sichuan (23.5121 billion yuan) [8]. - As of June 8, the total disclosed issuance of special new special bonds in 2025 was 24.3384 billion yuan, and since 2023, it has reached 143.3897 billion yuan. The top three in terms of disclosed issuance are Jiangsu (21.0235 billion yuan), Hubei (10.6856 billion yuan), and Xinjiang (9.102 billion yuan). In 2025, the top three provinces or municipalities with separately - planned budgets are Jiangsu (9.51 billion yuan), Henan (1.56 billion yuan), and Hubei (1.5 billion yuan) [8]. Summary by Relevant Catalogs Local Bond Actual Issuance and Forecast Issuance - **Actual Issuance vs. Pre - issuance Disclosure**: From June 2 to June 8, the net supply of local government bonds was 5.05 billion yuan; from June 9 to June 15, the forecast net supply of local government bonds was - 4.3 billion yuan [14][18]. - **Comparison of Planned and Actual Issuance**: In May, there were differences between the planned and actual issuance of local government bonds. In June, there were also differences between the disclosed plan and the actual issuance [16][19]. Local Bond Net Supply - **New Bond Issuance Progress**: As of June 8, the issuance progress of new general bonds was 44.96%, and that of new special bonds was 36.46% [26]. - **Refinancing Bond Net Supply**: As of June 8, the cumulative scale of refinancing bonds minus the maturity of local government bonds for the year was presented in a chart [26]. Special Bond Issuance Details - **Special Refinancing Bond Issuance Statistics**: As of June 8, statistics on special refinancing bonds from the first to the fourth rounds were presented, including the issuance amount of each round in different regions [31]. - **Special New Special Bond Issuance Statistics**: As of June 8, statistics on special new special bonds were presented, including the issuance amount in different regions from 2023 to 2025 [33]. Local Bond Investment and Trading - **Primary - Secondary Spread**: Charts showed the primary and secondary spreads of local government bonds, including the spread changes for different maturities and the overall spread [38]. - **Regional Secondary Spread**: The secondary spreads of local government bonds in different regions from April 18, 2025, to June 6, 2025, were presented [41]. - **New Special Bond Investment Direction**: The investment direction of new special bonds was presented in a chart, with the latest month's statistics only considering the issued new bonds [43].