What is platform debt?

Platform bonds are mostly government-owned companies mainly engaged in the construction of health infrastructure. Using these companies as platforms to issue bonds is essentially financing for the government. Debt instruments issued through the above platforms are called platform debt.

Platform debt is ostensibly corporate debt, but in essence it is guaranteed by the government, so the increase of platform debt has an impact on the government debt burden. At the same time, because banks are the main creditors of platform debt, the increase of platform debt also has an impact on the stability of the banking system.