4182.2 billion yuan of local government bonds were issued nationwide

According to the data released by the Ministry of Finance on January to September 2019, 4182.2 billion yuan of local government bonds were issued nationwide. Among them, 1667.6 billion yuan of general bonds and 2514.6 billion yuan of special bonds were issued; 3036.7 billion yuan of new bonds (including 907 billion yuan of new general bonds and 2129.7 billion yuan of new special bonds) and 1145.5 billion yuan of replacement bonds and refinancing bonds (used to repay part of the principal of local government bonds in due period) were issued according to purposes. From the issuance situation of the current month, in September 2019, local government bonds were issued by 219.6 billion yuan nationwide. Among them, 56.6 billion yuan of general bonds and 163 billion yuan of special bonds were issued; 141.6 billion yuan of new bonds (including 17.6 billion yuan of new general bonds and 124 billion yuan of new special bonds) and 78 billion yuan of replacement bonds and refinancing bonds were issued according to purposes. From January to September 2019, the average issuance period of local government bonds is 10.0 years, including 11.8 years for general bonds and 8.8 years for special bonds; the average issuance rate of local government bonds is 3.46%, including 3.52% for general bonds and 3.42% for special bonds. In September 2019, the average issuance period of local government bonds is 14.4 years, including 13.5 years of new bonds, 16.1 years of replacement bonds and refinancing bonds; the average issuance rate of local government bonds is 3.52%, including 3.49% of new bonds, 3.57% of replacement bonds and refinancing bonds. It is understood that after the second session of the 13th National People's Congress deliberated and approved, the national local government debt limit in 2019 is 24077.43 billion yuan.

Among them, the general debt limit is 13308.922 billion yuan, and the special debt limit is 10768.508 billion yuan. As of the end of September 2019, the balance of local government debt was 21415 billion yuan, controlled within the limit approved by the National People's Congress. Among them, the general debt is 11898.5 billion yuan, the special debt is 9516.5 billion yuan, the government bond is 21142.3 billion yuan, and the non-government bond is 272.7 billion yuan. The remaining average life of local government bonds is 5.1 years, including 5.0 years for general bonds and 5.2 years for special bonds; the average interest rate is 3.53%, including 3.53% for general bonds and 3.53% for special bonds. Hao Lei, deputy director of the budget department of the Ministry of finance, previously introduced that since this year, the issuance and use of new local government bonds have achieved remarkable results. By the end of September 2019, the issuance of new local government bonds has been basically completed, and the utilization progress has reached 90%. According to Hao Lei, the issuance and use of new local government bonds this year have four characteristics.

The first is faster progress. In September this year, the new bond quota was basically issued, two months ahead of last year. The second is longer term. The average issuing period of new bonds in 2019 is 8.9 years, 2.6 years longer than that in 2018; among them, the issuing period of 10-year bonds and above is 1238.5 billion yuan, accounting for 40.2%; in particular, the 30-year bonds have expanded from 1.2 billion yuan last year to 34 159.4 billion yuan this year. The third is lower cost. Under the coordination of fiscal and monetary policies, the average issuance rate of new bonds in 2019 is 3.42%, 45 basis points lower than 3.87% in 2018. The fourth is to expand effective investment. According to the analysis of the data reported by the local government, more than 40% of the new bond funds will be used in the projects under construction in 2019, focusing on supporting railway, highway, port and other transportation infrastructure, as well as social undertakings such as ecological environmental protection, pension, education, science, culture and health, which is conducive to expanding effective investment and promoting the realization of the goal of building a moderately prosperous society in an all-round way.