A city in China’s northwest has been thrust into the spotlight for a light rail project that has seen delays, environmental criticism and cost overruns amid a campaign to curb excessive spending.
Local authorities in China are struggling with slashed revenues resulting from the property sector slump as well as tax rebates as part of efforts to help coronavirus-hit businesses.
Municipal governments have been under heavy economic stress, exacerbated by dramatic defaults of developers like Evergrande, and weighted down by sluggish land sales.