Fears that one of China's biggest property developers could default on its debt are rippling through global markets.
The vast Evergrande group has outstanding debts of more than $300 billion.
Building work on many of its projects has stopped, and several investors have stopped getting paid.
On Friday, the company entered a 30-day grace period to make an $83 million interest payment, after missing a deadline.
The firm's woes have been compared to the collapse of the Lehman Brothers group in the U.S. in 2008.
So, what would a possible collapse of this company mean for China and the world?
Presenter: Kim Vinnell
Guests:
Gareth Leather - Senior Economist at Capital Economics.
Victor Gao - Chair Professor at Soochow University, and also Vice President at the Centre for China and Globalisation.
Adam Hersh - Visiting Economist at the Economic Policy Institute.
#China
#Evergrande
#InsideStory
The vast Evergrande group has outstanding debts of more than $300 billion.
Building work on many of its projects has stopped, and several investors have stopped getting paid.
On Friday, the company entered a 30-day grace period to make an $83 million interest payment, after missing a deadline.
The firm's woes have been compared to the collapse of the Lehman Brothers group in the U.S. in 2008.
So, what would a possible collapse of this company mean for China and the world?
Presenter: Kim Vinnell
Guests:
Gareth Leather - Senior Economist at Capital Economics.
Victor Gao - Chair Professor at Soochow University, and also Vice President at the Centre for China and Globalisation.
Adam Hersh - Visiting Economist at the Economic Policy Institute.
#China
#Evergrande
#InsideStory
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Francisco Gimeno - BC Analyst What is China's government going to do with Evergrande, in fact with the whole real property development sector? We can just speculate. Probably, the first thing will be to safeguard the rights of investors in housing and property. This is a Chinese standard policy. Then we have to see. Maybe fix and revamp the sector, or let it fall in a controlled way (if that's possible at all). Anyway, it's time for hard decisions and changes.