China's State Council, or cabinet, issued a policy paper that pledged to support the reform and expansion of domestic capital markets, including corporate bonds. No timetable for such actions was given.
The policy paper, despite being a simple statement of support, is significant in that it is the first indication of a climate of political support for attention being focused on China's capital markets, notably including corporate bonds.
Chinese bond issues have increased rapidly over recent years, but still remain relatively low in number. Including municipal bonds, China issued Rmb32.5 billion (US$3.9 billion) in bonds last year.