It's relevant to everyone! Let me share a different situation with you!
In my country's history, only five special government bonds have been issued:
The first was in 1998, with an issuance of 270 billion yuan to supplement the capital of state-owned banks. Old financial people know this.
The second was in 2007, with an issuance of 1.55 trillion yuan, enough to purchase $200 billion in foreign exchange as the capital of the National Foreign Exchange Investment Corporation.
The third was in 2017, with an issuance of 696.4 billion yuan, as a rolling issuance of the 2007 special government bonds, borrowing new to repay old.
The fourth was in June 20, when two special government bonds were issued.
The fifth was in December 22, with an issuance of 750 billion yuan, also a sequel to 2007, borrowing new to repay old.
This year is the sixth time, with an issuance of 1 trillion yuan first, and it will be issued continuously in the next few years.
Do you know what issuing government bonds means in the macro sense?
Now it is to let the house fall and keep releasing good news to paralyze you. Let you insist on holding.
Taking advantage of the low interest rate, local debt replacement, lock in long-term low interest rates.
When the debt is paid off,
public goods + upstream resources will increase in price, drive inflation, raise interest rates, and link mortgages to LPR, and continue to contribute. Those who bought long-term products will make up for the losses to institutions.
Debt paid off + profit, the balance sheet is perfect.
Maybe the cryptocurrency world is the only chance for ordinary people like us in the current environment for 5-10 years!
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