China’s hidden ‘corruption problem’ behind local debts goes hand in hand with national deleveraging campaign

The line between China’s anti-corruption and deleveraging campaigns is becoming increasingly blurred as Beijing looks to tackle both political and economic problems that are interwoven at various levels of local government.Since the beginning of the year, various provinces across the country have declared their commitment to “dig deep into the corruption problem hidden in the risks of local government debt”.In a work report published earlier this month by the Commission for Discipline…