Most local govt debt 'controllable', says banker

The investment return of China's local government debt is good, and its risk can be controlled, the chairman of the Export-Import Bank of China said on Wednesday.

"Most funds borrowed by local governments are used for infrastructure construction, which generates good investment returns and promotes the development of the local economy," said Li Ruogu, chairman of the Export-Import Bank of China.

"The risk of the debt can be controlled, and the debt level is lower than in many developed economies," Li added.