Ample liquidity boosts debentures

SOEs and private firms are likely to benefit from good policy, lower debt

Issuances of corporate debentures have accelerated in the Chinese market this year as liquidity has improved, analysts said.

Debentures issued mainly by high-grade State-owned enterprises or SOEs have benefited from ample liquidity, while private businesses may see substantial improvement in debt financing conditions after favorable policies take effect, they said.