Debt levels in China are rising quickly amid the fallout from the coronavirus outbreak, reflecting the growing risk if Beijing fails to achieve a high enough nominal growth rate to help with repayments. Photo: Xinhua
China debt market feeling the heat in June with two big defaults and a government order to reduce risk
- Energy and mining conglomerate Qinghai Provincial Investment Group confirmed in a statement on Monday that it had filed for bankruptcy
- Last week, Sichuan Trust said it would be unable to repay investors and a vice-governor of Yunnan province ordered all state firms to slash debt size and to restructure all high-interest debts
Debt levels in China are rising quickly amid the fallout from the coronavirus outbreak, reflecting the growing risk if Beijing fails to achieve a high enough nominal growth rate to help with repayments. Photo: Xinhua
