Across China, a growing financial burden on local governments is pushing many to gamble with dangerous debt products aimed at retail investors, which are reigniting concerns about financial risk that Beijing has been at pains to keep under control. Illustration by Lau Ka-kuen
China debt: local governments target amateur investors in new round of risky credit expansion
- Financial stress is pushing many local governments in China to gamble with potentially dangerous debt products aimed at retail investors
- Direct social media marketing to retail investors has emerged as one approach to raising funds for infrastructure projects
Across China, a growing financial burden on local governments is pushing many to gamble with dangerous debt products aimed at retail investors, which are reigniting concerns about financial risk that Beijing has been at pains to keep under control. Illustration by Lau Ka-kuen
