China Tightens Grip on Local Government Debt

China aims to increase supervision of local government debt and plans to revise related laws. Proposed changes will require annual reports from the cabinet and local governments on debt management, according to a spokesperson from the National People's Congress.

China is intensifying efforts to manage local government debt, moving to amend current legislation to facilitate better oversight. This development was announced by a spokesperson from the legislative affairs committee of the National People's Congress on Friday.

The proposed legislative changes will mandate annual progress reports on the debt management efforts of both the cabinet and local governments. The goal is to ensure tighter control and greater accountability in handling public finances.

Huang Haihua, the spokesperson, emphasized the importance of these reforms in maintaining fiscal health and preventing economic instability. These steps reflect the government's commitment to sustainable financial practices amid increasing scrutiny of public debt levels.

(With inputs from agencies.)