On August 31, 1991, China began to comprehensively clean up the ＂triangular debt＂

On August 31st, 1991, the State Council held a national working conference on cleaning up "triangular debts". The main contents are as follows: 1. "Triangle debt" has become a serious obstacle to the normal operation of the national economy, and it is imperative to fundamentally solve the problem of "triangle debt". The State Council decided to clean up the "triangle debt" as a breakthrough to enliven large and medium-sized state-owned enterprises and control the economic order. The main leaders of local governments should personally ask about the cleanup work and put it on the agenda; Overcome wrong ideas, seize the time and do it well in three years. Second, the meeting stipulated the guiding ideology, main tasks, main practices and key targets of this work, and stipulated the time limit for the occurrence of this "triangular debt" included in the clean-up, as of June 30, 1991. Third, the meeting exchanged the experience of the pilot project of clearing debts in Northeast China and the measures to prevent debts. Combined with the actual situation of various regions and departments, the meeting formulated more specific and feasible scheme measures for clearing debts and preventing debts, and put forward specific requirements for the next step of clearing debts.

On August 17th, 1992, the Office of the Leading Group for Clearing Triangular Debts in the State Council introduced that China had made great progress in clearing triangular debts.

By the end of July, except for a few projects that did not meet the loan conditions and the national industrial policy, the arrears of national capital construction and technological transformation before the end of 1991 had been basically cleared up, one year ahead of schedule. In the past two years, the state has injected 51 billion yuan to clean up triangular debts. And take the scientific method of cleaning up the fixed assets from the source of default for five consecutive years, and untie the debt chain of enterprises by more than 200 billion yuan, which has achieved good results by investing funds in 1 yuan to clear 4 yuan’s arrears. This progress has eased the debt chain burden for large and medium-sized enterprises, thus creating favorable conditions for the rational growth of the national economy.

However, there are still some provinces and cities with projects with funding gaps, resulting in new arrears; There are also some enterprises that do not look at the market and blindly produce, resulting in a backlog of products. The State Council asked all regions and departments not to leave a gap in funds for new projects to prevent new arrears, and reiterated that the state would no longer organize the liquidation of arrears that occurred after 1992.