China bond default boosts government debt reforms

China’s latest credit default in its public bond market has been seen as a positive development in its attempt to reform its onshore debt sector. The rare default comes as government officials urge more such failures in order to end the system of implied guarantees. The country’s authorities are attempting improve the investment environment to meet increasing global demand for onshore renminbi assets. Baoding Tianwei Baobian Electric, a solar and wind energy equipment producer…