Projects supported by special Chinese government bonds will see an increase in scrutiny, reports Caixin. According to a senior official at the Ministry of Finance, regular checks on the use of bond funds will take place moving forward.
Fund allocations will be suspended for special bond projects that deviate seriously from their performance targets, Vice Finance Minister Xu Hongcai said Wednesday while reporting on implementation of the 2021 budget to the National People’s Congress Standing Committee. In addition, provincial governments will be allowed to adjust the use of funds in a timely way for projects that cannot be implemented due to insufficient preparation, Xu said.
Over the past month, local governments across the country have started to review their 2019 and 2020 special bond projects, Caixin has said.