Be careful of your money! The Treasury has opened a big pit! This kind of high yield product is all thunder!

  • Time:
  • From:AIAT
  • Author:atr
  • Views:179

original title: be careful about your money! The Treasury has opened a big pit! This kind of high yield product is all thunder!

01

the two day, the cat brother noted the success of a news: "the Ministry of Finance: resolutely dispel local debt paying" illusion "and the central government shares the" illusion "". The news is that recently the Ministry of Finance issued the "Ministry of finance report on resolutely stop illegal local government borrowing to curb the implicit debt incremental" (hereinafter referred to as the "report"), the report said to resolutely stop illegal local government borrowing, to curb the recessive debt increment, will firmly dispel the local government that the central government debt "pay" and "illusion", firmly believe that the central government will give financial institutions out of local debt "illusion".

translated into vernacular is: central government will not pay for local governments' "illegal" debts, and local governments and financial institutions are at risk, so as to curb local governments' "snowball".

of course, this is not to say that local government debt, the "report" that will open the local government debt financing norms of the "front door", and severely punish individual local governments continue to purchase services through the financing platform companies, PPP, government investment funds, the government as illegal or disguised debt, and the introduction of lifelong accountability, investigations in the way of liability system.

can do is, in December 22nd, the Ministry of Finance website of Jiangsu province and Guizhou Province, a total of 20 counties (cities, districts) of the two results of accountability illegal borrowing guarantee, 72 relevant responsible person was given different degrees of punishment, including administrative dismissal, administrative demotion etc.. In February this year, the Ministry of finance made public the four punishments in Chongqing, Shandong, Henan and Hubei. After Jiangsu and Guizhou, the relevant accountability will continue.

these issues relate to the issue of unlawful and irregularities by local governments and their affiliated departments through trust or asset management plans.

Read

together both, is also very clear: after the local government to borrow money to engage in people's livelihood, public welfare projects, projects will be approved by the central government debt ceiling, all included in the budget management, only issued the new local government bonds and replacement, and does not allow the illegal guarantee through the financing platform companies, PPP, government investment fund the government purchase service way, illegal or disguised debt".

said so much, a lot of cat friends may be confused - what does it have to do with me?

with a dabaihua said: if someone is to sell you an investment project, is local government financing platform for the company's commitment to repurchase, if the project defaults, only for financial institutions to fund local government to recover back to the project, on the level of government has no obligation to pay.

, in fact, a change in investment risk is coming. Financial products are not allowed to be honoured, and at present, the local government is responsible for the risk of borrowing. We used to think that buying financial products must be riskless , "borrowing money to the government" certainly "superstition" is being broken.

02

these provinces should pay attention to

how much is our government debt at present?

"report" gives the answer: as of the end of 2016, government debt balance of 27 trillion and 330 billion yuan of national legal limits, debt ratio (debt /GDP) was 36.7%, lower than the main market economy countries and emerging economies, the level of ; the local government debt balance of 15 trillion and 320 billion yuan, the debt ratio (debt / comprehensive financial) was 80.5%, lower than the the international warning line of 120% - 100%.

, in fact, there is statistical factor in the data. The real debt size of will exceed this figure. will be too long to expand. However, no matter what the number is, the issue of government debt in China is still in a controllable range, although the rate of growth is a bit fast.

especially in some provinces: Guizhou, Yunnan, Liaoning, and Inner Mongolia . The debt scale and debt ratio of these less developed provinces are also higher. In addition, Jiangsu and Shandong in developed provinces have large debts and low debt rates, but there are also problems.

that is, the development of economy and performance projects, local governments need a large number of financing, so some local governments and their departments, through the trust or asset management plan and other ways of illegal debt guarantee.

let's take a look at this example.

2015 in May Chongqing city Qianjiang District Board of education and Shanghai Aijian Finance Leasing Company Limited signed a "lease contract" 2 to finance 120 million yuan; in June 2015 and August, the Qianjiang District Board of education and Jiangsu financial leasing Limited by Share Ltd signed 2 "financing lease contract" financing 100 million yuan. A total of 220 million financing, the District Finance Bureau provides a letter of commitment to provide security responsibility.

is equivalent to the commitment of the District Finance Bureau to repay the money, so other departments have to borrow money, as to the real use of funds, it is a big question mark.


From: 小心你的钱!财政部揭开个大坑!这类高收益产品都是雷!
Translate by: Baidu Translate .