Local government debt could exceed 20 trillion yuan ($3.3 trillion), according to an expert.

Liu Yuhui, a researcher at the Chinese Academy of Social Sciences, said during a conference on Monday that the figure not only includes explicit debt like local government financial vehicles and city investment bonds, but also implicit debt, such as wealth management products.

That would be "way higher" than the level of debt at the end of 2010, which found that local authorities owed 10.7 trillion yuan.

Since then, there has been no official nationwide survey.

The State Council, China's cabinet, ordered a nationwide audit in July of local government debt on concerns that slowing economic growth may leave some authorities unable to repay borrowings. The findings have not been announced yet.

Liu also announced that the academy and China Credit Rating Co will jointly develop credit ratings for local governments. The partnership marks a step forward in China's preparation to allow local governments to sell debt, Li Yang, the Chinese Academy of Social Sciences vice-president said.