China to issue ultra-long-term bonds to fund strategic priorities - weekend announcement

China's finance ministry announced plans to issue ultra-long-term special government bonds next year to support key national strategies and security-related initiatives. The funds are also intended for financing significant equipment upgrades and consumer goods trade-in programs. The announcement follows a meeting intended to implement decisions from the Central Economic Work Conference. However, the lack of specific strategic project details may limit near-term market reactions, although the commitment to addressing local government debt risks is emphasized. The ministry aims to actively reduce existing liabilities and prevent the accumulation of new hidden debts, signaling ongoing fiscal support for growth and industrial upgrades.