China's leverage ratio increases at slower rate in Q2: report
0 Comment(s)
Print
E-mail Xinhua, September 1, 2019
China's leverage ratio increased slightly in the second quarter of the year, according to a report released by the National Institution for Finance & Development.
The overall leverage ratio, which measures the nation's outstanding debt in the real economy against nominal GDP, rose to 249.5 percent in the second quarter, up 0.7 percentage points from a quarter earlier.
The second quarter's increase narrowed from Q1's rise of 5.1 percentage points, data from the report showed.
The report attributed the downturn to a falling corporate leverage ratio, which decreased by 1.1 percentage points to 155.7 percent in Q2.
With looming downward pressures, the report suggested authorities strike a balance between controlling leverage and stabilizing growth, via measures including moderately increasing the central government leverage ratio and advancing structural reforms.
Go to Forum >>0 Comment(s)