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China should further increase the local governments' debt ceiling and develop more financial instruments as a tightening credit environment makes it tough for local governments to obtain funding for infrastructural construction, said a report by a Beijing-based think tank.
China will closely follow the development of this case and take necessary steps to protect Chinese firms' legitimate rights and interests, Gao added.

China needs to put risk prevention atop its agenda, said Xu Hongcai, an economist at China Center for International Economic Exchanges. "The financial markets still more or less have some risks, and the Party meeting is reiterating the importance of forestalling systemic risks."
China plans to reduce the tax burden and social insurance contributions of enterprises by nearly 2 trillion yuan (8.4 billion) this year, higher than the 1.3 trillion yuan of tax and fee cuts on enterprises and individuals last year, according to the Government Work Report delivered on Tuesday.
China is willing to work with Germany to uphold the international system with the United Nations at its core, he said, urging the two sides to enhance coordination within the framework of the Group of Twenty to make greater contributions to improving global economic governance.
来源:资阳报