Country Garden on the Brink of Major Default as $15 Million Payment Due

Country Garden's entire offshore debt will be in default if it fails to make a $15 million coupon payment on Tuesday.

Non-payment would trigger cross defaults in other bonds and make Country Garden the latest Chinese developer to default.

Country Garden has missed other offshore payments recently, though grace periods haven't lapsed yet.

With nearly $11 billion in offshore bonds, a Country Garden default would enable a major debt restructuring.

Developers accounting for 40% of Chinese home sales have defaulted on debt obligations since 2021.