China will issue an additional 1 trillion yuan in treasury bonds in Q4

The Chinese government intends to issue an additional 1 trillion yuan ($137 billion) in treasury bonds during the fourth quarter (Q4). This effort aims to bolster the nation's overall resilience to natural disasters and support post-disaster reconstruction. The decision was approved by the sixth session of the Standing Committee of the 14th National People's Congress (NPC).

Over 7.5 trillion yuan worth of bonds have been issued by China in the first three quarters. The additional $1 trillion is added to this amount. The sum is significantly substantial when compared to other figures.

According to Xinhua News Agency, the new issuance is anticipated to drive the nation's fiscal deficit ratio to approximately 3.8 percent in 2023, which is historically high, from the target of 3% set at the start of the year.