China's top legislative body, the standing committee of the National People's Congress (NPC), approved a bill on raising ceilings on local government debt during a meeting from Nov. 4 to 8, said Xu Hongcai, vice chairman of the financial and economic affairs committee of the NPC.

The country’s top legislative body gave its green light for local governments to swap some of their mounting off-balance-sheet debts but stopped short of new fiscal stimulus measures to revive the struggling economy.

The outlook is grim for the world’s second largest economy, with growth slowing and the prospect of a new trade war following Donald Trump’s electoral victory.

China gave indebted local governments a 10 trillion yuan ($1.4 trillion) lifeline but stopped short of unleashing new stimulus, preserving room to respond to a potential trade war when Donald Trump takes office next year.

Friday's announcement is the latest in a string of stimulus measures China has taken to turn around its ailing economy.

China on Friday unveiled some of its most ambitious plans in years to lift local government debt and boost its economy, following a meeting of lawmakers eyeing the possibility of

The plan will be implemented over the next three years, Xu Hongcai, vice-chairman of the National People's Congress's financial and economic committee, said