Posted 1/27/2024, 1:00:00 AM
China Faces Mounting Risks as Corporate Bond Redemptions Hit Record $945B, Adding to Local Debt Burdens
- Redemption amount for maturing Chinese corporate bonds hits record $945.53B in 2024, up 20% from 2023
- Burden growing on local government financial vehicles (LGFVs) due to reckless fundraising
- Debt problem persists due to government support
- Greater risk for China's financial system the longer debt issue continues
- Economic stagnation will persist longer if debt issue not addressed