Provincial bond issuance could revive Chinese CDS market

nanjing
Nanjing, capital of Jiangsu, the first province to issue bonds

A new initiative to allow provinces and cities to sell bonds could stimulate the Chinese credit default swap (CDS) sector but uncertainty over whether Beijing would ever let these structures default raises questions about whether the cost of protection is justified.

China's CDS market has been languishing ever since it was launched by the National Association of Financial Market Institutional Investors (Nafmii) five years ago, largely because of an inflexible market structure that limits its

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account

.