The correct term is Debt Restructuring. This way they will know the risk involved, where they stand and how much they will really need to as a stimulus. They’re taking their time for the big step.
Once again, zero fiscal stimulus out of Beijing. Ignore the headlines and all the talking heads that focus entirely on the top line number.
As expected, what was announced was a massive local government debt restructuring program. The priority is to clean up “shadow banking” finances.
Left pocket is just paying the right pocket. Zero stimulative effect.
China announces $1.4 trillion package to tackle local governments' 'hidden' debt https://www.cnbc.com/2024/11/08/china-expected-to-announce-highly-anticipated-fiscal-stimulus-package.html?__source=iosappshare%7Ccom.apple.UIKit.activity.CopyToPasteboard