Deleveraging efforts at central SOEs gather speed

China has stepped up its efforts to reduce leverage and debt at its centrally administered State-owned enterprises by asking the national assets regulator to sign liability certificates with six central SOEs.

The six central SOEs are China South Industries Group Co Ltd, Sinopec Group, China Huaneng Group Co Ltd, China Huadian Corp Ltd, China State Construction, and China Railway Construction Corp Ltd.

As per the liability certificate, the central SOEs will need to diligently implement the central government's efforts to reduce leverage and cut debt ratio and create a solid foundation to prevent and resolve major risks.