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It's being reported that China is expected to expand the investor team for local government bonds this year.

The report quoted an official with China's Ministry of Finance saying that the government is working to allow more participants in the program.

It's expected that bonds will be issued to raise money from social insurance funds, corporate annuities, and housing provident funds.

In May last year, the Ministry of Finance proposed expanding the investor scope for special bonds, and encouraging institutional and individual investors to put money into local government bonds.

Currently, branches of national commercial banks and local financial institutions are major investors for local government bonds.

For more on this topic, CRI's Bob Jones spoke with John Ross, senior fellow with the Chongyang Institute for Financial Studies at Renmin University.