Local government bond issuance typically begins in March, following approval of quotas at the National People's Congress. Reuters reported earlier this month, citing sources, that China was planning to begin issuing new local government bonds for 2019 in January, as the authorities try to counter slowing growth hit by the Sino-US trade war.
China's leadership said this month that the country would increase its quota of local governments' special bond issuance by a relatively large scale next year to help resolve financing difficulties for small and private firms. Xinhua said on Saturday early approval would help local governments move forward quickly with projects and create a stable investment environment.