BEIJING, March 14 (Reuters) - China’s local government debt increased by a net 300 million yuan ($47.42 million) last year, Premier Wen Jiabao said on Wednesday.
The growth was marginal compared with the overall stockpile of Chinese local government debts, which stood at 10.7 trillion yuan at the end of 2010.
Wen told reporters at the end of the annual parliament session that China’s local governments borrowed 2.1536 trillion yuan in new debts, but paid back 2.1533 trillion yuan.
Wen added that local governments debts are under control and the situation is safe as many projects can generate healthy cash flows. ($1 = 6.3270 Chinese yuan) (Reporting by Chris Buckley; Editing by Ramya Venugopal)