Commissar SFLUFAN Posted October 16, 2018 Share Posted October 16, 2018 China May Have $5.8 Trillion in Hidden Debt With ‘Titanic’ Risks China’s local governments may have accumulated 40 trillion yuan ($5.8 trillion) of off-balance sheet debt, or even more, suggesting further defaults are in store, according to S&P Global Ratings. “The potential amount of debt is an iceberg with titanic credit risks,” S&P credit analysts led by Gloria Lu wrote in a report Tuesday. Much of the build-up relates to local government financing vehicles, which don’t necessarily have the full financial backing of local governments themselves. Quote Link to comment Share on other sites More sharing options...
b_m_b_m_b_m Posted October 16, 2018 Share Posted October 16, 2018 Hasn't local government debt been a big, known problem for a while now? Is it just the now know scale of the problem that's coming to light? Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted October 16, 2018 Author Share Posted October 16, 2018 19 minutes ago, b_m_b_m_b_m said: Hasn't local government debt been a big, known problem for a while now? Is it just the now know scale of the problem that's coming to light? It's been known in an ephemeral sense, but I think this is the first time that a big, scary number has been attached to it. Quote Link to comment Share on other sites More sharing options...
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