CHINA has ordered local governments to speed up the issuance of debt earmarked for infrastructure projects, so that the proceeds can be invested early in 2020 to help shore up the slowing economy.

All localities are required to allocate the recently issued “special bond” quota of 1 trillion yuan (US$142 billion) “as soon as possible” to specific projects, the Ministry of Finance said in a statement late Wednesday.

There were no details on when the sales will actually begin, or what the total quota for 2020 will be. Analysts disagreed on whether the statement implies issuance will start as soon as December.

Until this year, sales of the bonds began in March, after the legislature formally approved the annual budget.

In 2019 bond issuance began in January so that the money could be spent earlier and faster on infrastructure projects to boost demand. The announcement Wednesday shows that the government is trying to jump-start that process even earlier next year.

The decision indicates a willingness among policymakers to inject more stimulus into the economy, Bloomberg economist Qian Wan said.

“The front loading of special bond issuance will also ensure funding for infrastructure projects at the beginning of next year” and the size suggest the quote may exceed the 2.15 trillion yuan one this year, she wrote.

The yield on benchmark 10-year government bonds briefly rose about 2 basis points to near 3.2 percent following Wednesday’s announcement. It then fell Thursday to 3.18 percent.

So-called special bonds have mostly been used for infrastructure spending. The State Council, China’s Cabinet, in June expanded the sectors that funds raised via the special bonds can be put toward. For 2020, they will include transport, energy, agriculture and forestry, vocational education and medical care. (SD-Agencies)