June 01, 2022 - 01:16 PM 251 views
On Wednesday, a senior faculty member of the Institute of Finance and Banking at the Chinese Academy of Social Sciences, Zhang Ming, said that, "China must carry on its fast economic and fiscal growth in order to captivate its increasing debt and mitigate a swift boost in the domestic interest rates to retain the present high level of debt viable and bypass the systematic financial threats."
Important Quotes (Via Reuters)
By the end of the year 2021, China’s macro leverage ratio was at a high of 303.8% if the local government implied debts and the debts increased by the vehicle finances were included.
Currently, the local governments carry the highest default threat, and their debt-to-GDP ratio is at a high of 106.6%.