China begins pilot program to issue local bonds

I saw this article the other day in the NY Times. In short, China has selected four subnational governments to begin issuing bonds in order to raise revenue. In the past, local governments have resorted to land swaps and land auctions to finance projects. The four governments include:

• Shanghai (city)
• Shenzhen (city)
• Shenzhen (province)
• Guangdong (province)

To read the complete article, click here.