The Guangdong provincial government will inject about HK$15 billion of assets into its struggling investment arm Guangdong Enterprises (Holdings) (GDE), according to executive vice-governor Wang Qishan. Mr Wang was speaking yesterday to a delegation of 21 global fund managers led by United States investment bank Morgan Stanley Dean Witter. The meeting was an attempt to allay investor concerns following the bankruptcy of provincial fund-raising arm Guangdong International Trust and Investment Corp. It is the first official indication of the extent of support for GDE, which has US$2.94 billion in debts. The provincial government said in December it would bail out the firm, which is undergoing a restructuring with the help of US financial adviser Goldman Sachs. However, creditors have complained of a lack of concrete proposals and action. Reports had suggested about 22 billion yuan in asset injections would be made with a cash infusion of about 15 billion yuan over five years. Mr Wang said GDE's accounts receivables of HK$13 billion to HK$14 billion might be set aside to be handled by an asset management company. A fund manager at the meeting said Mr Wang gave no details of GDE's restructuring plan but said he did not expect a cash injection. Mr Wang said high cash-generating assets - excluding Daya Bay nuclear plant - would be injected into GDE. The restructuring plan was expected to be ready by the end of the month. GDE, the Guangdong provincial government's flagship investment arm in Hong Kong, is seeking to suspend payments of loan principal until April. Mr Wang said he was aware of the repercussions from the Gitic collapse. 'We have to pay for the costs of moving towards a market economy. But we regret that foreign creditors will have to bear some of the costs too.' The mainland's creditworthiness had been based on the false assumption of government guarantees and had to be gradually rebuilt on the merits of companies.