Sales of asset-backed bonds in China are up 147% over the same period last year, Bloomberg reported, citing data it had compiled. Having banned asset-backed bonds in 2009 after they helped spark the global financial crisis, regulators in China began allowing sales again in 2012. Since then issuance has climbed to RMB282.3 billion (US$45 billion) as of last year, almost 15 times the offerings in 2013. The boom is alarming ratings companies as soured loans have risen to the highest in four years and China’s total debt has grown to over 250% of GDP.
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