China's local government debt has been seen as a looming crisis. Following the central government's recent pledge to comprehensively resolve local government debt issues, the anxious markets experienced a temporary reprieve. It's anyone's guess how big the problem is. After China's 4 trillion yuan ($556.4 billion) stimulus plan in 2008, local debt began to escalate dramatically. Through the establishment of thousands of local financing platforms, local debt, starting from around 5 trillion yuan, has soared to over 100 trillion yuan in a span of 15 years.

https://www.caixinglobal.com/2023-10-03/opinion-how-to-fix-chinas-local-government-debt-crisis-102113962.html

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