Economists,investors and central banks around the world are warning of the risks to China’s financial stability,calling on Beijing to act to stabilise the housing crisis.
The start of October is usually a time of celebration,travel and spending money in China. But not this year.
The property developer,once China’s largest homebuilder,has warned investors it is likely to default with roughly $US187 billion ($291 billion) in liabilities.
Foreign creditors warn that without debt restructuring China Evergrande could collapse,with dire consequences for other distressed companies in China’s property sector.
It nearly ran out of cash in 2020 and losses continue to pile up. But Nio is a shining example of why Chinese electric car companies are taking over.
China’s banks are considered “too big to fail” but pressure is building as the country’s property crisis gets worse.
The world’s most important central bank doesn’t like looking too far beyond the US,but it can’t ignore China’s problems forever.
Some social media commentators linked the sharp rise in lottery sales to young people’s deepening economic worries as youth unemployment rate hits record highs.
In China,where fashion has been used as a weapon,a new law threatens fines of up to $1000 for clothes that “undermine the spirit” of the nation.
He was once Asia’s richest man,but Hui Ka Yan is now suspected of “illegal crimes” as the turmoil surrounding property giant China Evergrande deepens.
Beijing is on a collision course with the West as it tightens its grip on its economy and financial markets. It could lead to a lot of self-inflicted wounds.