In China, embattled actual property big Evergrande faces a serious second of reality this week. The corporate owes an estimated 300 billion {dollars}, and is anticipated to default on bond funds.
Evergrande operates and develops 1,300 actual property tasks throughout China and employs 200,000 folks. The corporate financed its breakneck growth with credit score and bond points. However the pandemic has paralyzed its operations. Its debt equates to 2 p.c of Chinese language Gross Home Product.
Evergrande was all the time considered ‘too massive to fail.’ If it topples it may take numerous banks down with it, like Lehman Brothers did in 2008.
The danger of defaulting has prompted a sell-off. Evergrande shares have misplaced 80 p.c of their worth for the reason that begin of the yr.
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The problem when you get the profit even without completing yet the project. Spell corruption.
China failing… I love it
God is seeing everything
$300 Billion is chump change against the value of the Chinese economy. And no, its not a total loss either. The Government will not allow the contagion to damage the overall performance of the economy.
Now blackouts are causing mass starvation in the north of China
It definitely will topple China economy. Support Taiwan independent
China Collapse Collapse Collapse Collapse Collapse Collapse Collapse Collapse Collapse Collapse
An Irresponsible nation on earth…..
Could this be a plan to bring on a global economic crash 🤔
Blow #1 Pandemic
Blow #2 Economic crash ❓
Blow #3 Shortages ❓
Blow #4 War ❓
Let's not keep our eyes on the ball, but look beyond the ball ! 🤔 Something is a miss !
housing market in China works in the same way as the U.S. national debt, they may fail in certain parts of the system, but the system itself is like cocaine, will never be shredded off
Ghost cities, ghost apartment buildings, no plumbing or electrical wiring, in hundreds of projects.
Bubble, what bubble?
Estimated, half of loans are worthless, payoffs, stolen……
3:05 When did Larry the Cable Guy become an economist for China?
Nah, I am not expert in economy or china affairs, but i dont think evergrande will collapse china economy.
China economy is not built entirely on property company like this. It is not same as wall street.
It definitely will topple China economy. Support Taiwan independent
Not only evergrande Realtor. Suppliers workers
Banks. Sunac Realtor also in trouble not many buyers. People are scared now. This winter and next year will be recession. Shipping 🚢 problems. Prices up up inflation. China 🇨🇳
Electricity. Whole world inflation 🚀
It certainly can’t help! Hahhahaha world’s second largest economy?!?! Hahahaaaaa
It’s all built on ghost cities and vacant apartments no one will ever live in… ever!
Evergrande is worse than Lehman- at the end of the day all those mortgage-backed securities you could eventually trace back to an actual home asset that existed and someone would definitely want to live in at some point. Evergrande debt if you trace it to its source is largely homes that are either unfinished, not started, built in safely so they are unlivable or in poorly planned “ghost cities” that are unlivable.
I am never gonna name my company starting with EVER
The one thing I learned is that whack-a-mole is difficult
why can't the government bail it out to save the face of its economics and the hundreds of thousands of parties involved from imminent economic and living catastrophe.
Nothing to do with Pandemic…it's started long back in 2016 only. Feeling sad for the Chinese people.
Looks like plying there own people out !!!
Collapse china, you deserve it.
how many times our society and economy is down in your media I am curious
Finally china will be poor country and india will be richer thn China
I always knew that china with the pcch would collapse.
300bn dollars isn't nothing. Just call Powell and within 48 dollars and lots of brrrrrr, boom printed fresh off the press..
Thanks for the virus
So did china collapse ?? What rubbish news everything is a if how is this news
ofc just end this country
Banks are still lending to a bankrupt company !!
Evergrande was praised and admired.
Most importantly, it was imitated.
I think that Evergrande is merely the start of a
broader wide ranging collapse or China's real estate.
Once the myth of non-stop increase of real estate values is cast aside,
the market will crash.
All the people and institutions that rely on real estate to
prop up their wealth will be destroyed.
All those young men who scraped together their family's fortune
to buy a home so they can get married, will be impoverished.
The dream of owning a home will be gone —-
for a LONG LONG time.
China's GDP is going to shrink and stay shrunk for a long time.
If China wants to use the shiny new weapons it has to take over Taiwan,
they better do it now.
China won't be able to afford a military to challenge the US.
50 cent army is rampant in the comments hahaha 🤡
China has no business invading Taiwan. Stop wasting money on your pointless war and fix your damn country!
People are asking the wrong freaking question. The question people should be asking and stressing about is; IS china the country too big to fail???????? And between Xinnie the Poo and the Chinese Corruption Party, I know where my bet is going considering neither one should be trusted to run a raffle.
It will not significantly affect whole China’s economy, but it’s probably the beginning of trembling and domino effect… We are not talking about Covid 19 as an excuse, it’s clearly a property oversupply which lead to failing to pay the debt
People are likely to loose their hard earned money. They may not recover from this setback in life.
Down with the big ol you know what.
Evergrand is a Good representation of China. All face but no substance
It must be already over. It is 1929 on full display. It must be impossible to sneak your way out of a full 1929, so the burden of loss can be placed on others. Incomprehensible that nobody outside China rams the hammer down on them.
Don't hold your breadth… Lol
Will US destroy China's economy by stock exchange manipulation?
This is the qestion.
deluded view of progress
always boasting of their 5000 years of history. they've learnt nothing.
Taiwan will bail them out in exchange of independence, LOL!