The province of Ningxia will become the first local government to issue overseas bonds with the sale of up to US$1.5 billion of debt, Bloomberg reported, citing a statement filed by AVIC Capital (600705.SHA) to the Shanghai stock exchange. The company said its brokerage unit had been appointed the coordinator and financial adviser for the issuance; Ningxia may sell the debt as Islamic bonds or dollar bonds, with maturity of up to five years, according to the statement. China earlier this year passed legal amendments lifting a ban on direct bond sales by local governments, which are grappling with liabilities.
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