Different financial budgets: general bonds are included in the revenue budget of public finance, and those included in finance are indicated in red; Special bonds are included in the budget of government institutional funds, and need not be included in the fiscal scarlet letter.
Different uses of assets: general bonds are issued by local governments to reduce the shortage of funds or deal with temporary shortage of funds; Special bonds are bonds issued for the construction of actual projects.
Different investment projects: general bond lending liabilities participate in government liquidity, mainly used for unprofitable service projects; Special bonds are mainly aimed at fixed projects with certain profits and cannot be used to guide the national policies of other regions and industries.
The sources of repayment funds are different: the repayment assets of general bonds come from the total fiscal revenue; The repayment of special bonds comes from government funds or special income after the completion of the project.
Take different risks: Although all bonds are government-endorsed, from the perspective of the security of expected returns, the repayment source of general bonds is fiscal revenue, and the security is naturally higher than that of bonds with expected returns.
What are general bonds and special bonds?
General bonds are bonds that pay interest according to the general repayment method of bonds, which generally include government bonds, financial bonds and corporate bonds.
Special bond refers to special bond, which is a kind of local bond, and its purpose is to raise funds to build a project.