China hidden local government debt rises to over half of GDP at US$8.2 trillion, Goldman Sachs report says

Source: China – South China Morning PostChina’s hidden local government debt has swollen to more than half the size of the economy, according to economists at Goldman Sachs, who said the government will need to be flexible in dealing with this as revenue is already under pressure due to a slowdown in land sales.The total debt of local government financing vehicles (LGFVs) rose to around 53 trillion yuan (US$8.2 trillion) at the end of last year from 16 trillion yuan in 2013, the economists wrote in a report.That is equal to around 52…Read More

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