Local govt bonds boost infrastructure

Gains in social capital, investment to bolster key projects and development

The rise in special local government bond issuances in the first four months of this year will help energize China's social capital, expand effective investment and funnel more funds into key areas like infrastructure that better serve the country's drive for high-quality development, experts said on Friday.

Data from Wind, a financial information service provider in China, showed that from January to April this year, local governments issued bonds worth 1.95 trillion yuan ($280 billion), including special local government bonds worth 1.62 trillion yuan, accounting for nearly 43 percent of this year's total special bond quota, notably faster than the January-April period of last year.

Securities Daily, a Chinese-language business newspaper, reported that by Thursday, the amount of newly issued local government bonds had exceeded 3 trillion yuan, including special local government bonds worth 1.62 trillion yuan.