Leiyang, Hunan Local Govt Credit Outlook Cut

Three weeks ago Leiyang, Hunan was in the news for missing payments to civil servants. See: Local Debt Risk Driving Turf War as PBoC and MoF Toss Hot Potato

Leiyang is back in the news.

Caixin: China’s Paper City Could Become a House of Cards

Pengyuan Credit Rating lowered the outlook on bonds issue by a Leiyang local government owned investment company, from stable to negative. Among the reasons for the ratings cut are rapidly growing debt and weak fiscal revenues.