Contract value of debt-to-equity marketization of coal industry is 327.1 billion

In order to implement the decisions and arrangements made by the Party Central Committee and the State Council on advancing supply-side structural reform and focusing on “capacity reduction,de-stocking,   deleveraging,cost reduction and improving underdeveloped areas”, decreasing actively yet prudently the leverage ratio of coal enterprises, and strengthening the demand docking of debt-to-equity of coal industry between supply side and demand side, the meeting of policy preaching and project docking about debt-to-equity of coal industry was held in Beijing on November 1.

According to the deputy director of Financial Department of National Development and Reform Commission, debt-to-equity marketization of coal industry has achieved remarkable results. Up to now, the overall contract value of debt-to-equity marketization is 1785.311 billion Yuan, and the value of paid-in funds is 433.082 billion Yuan. Contract value of debt-to-equity marketization of coal industry is 327.1 billion Yuan, involving 13 enterprises and 102.8 billion Yuan of paid-in funds. Although the asset-liability ratio of coal industry shows a decreasing trend, coal enterprises especially state-owned enterprises still have the problems of high asset-liability ratio and weak profitability to solve out. Therefore, it is urgent and necessary to decrease actively yet prudently the leverage ratio and increase the benefits for theses enterprises.