Developer Longfor Gets 20 Billion Yuan Bond Lifeline

China’s interbank bond market regulator has approved Longfor Group Holdings Ltd.’s application to issue 20 billion yuan ($2.8 billion) in debt as part of a central bank-backed scheme to support struggling private developers by providing a state guarantor.

Longfor can issue the bonds in phases during a specified period of time, according to a Thursday statement from the National Association of Financial Market Institutional Investors (NAFMII), adding that state-owned China Bond Insurance Co. Ltd. has accepted the firm’s bond issuance guarantee application.