Evergrande's default is emblematic of the systemic problems Chinese real estate groups are facing. For many years, the real estate boom fueled both the country's credit and construction industries. But now the group's shares are falling to their lowest level in six years. Fears of a domino effect are running high.
By Ning Wang
Just four years ago, Evergrande founder Xu Jiayin was China's richest man for a time. But the real estate conglomerate's mountain of debt keeps growing. Beijing has urged Xu to resolve these problems quickly. But banks and rating agencies are shaking their heads.
By Redaktion Table
With the takeover of the Beijing real estate group Soho China, the US private equity company Blackstone has made its largest real estate deal in China to date. The takeover cost a good $3 billion. This is already the third billion-dollar deal with China in just a few months. Other large financial companies are also expanding in China.
By Frank Sieren
The narrative of China's inevitable rise is nurtured in both West and East. China seems to be rushing from victory to victory. Economic and political challenges such as overcapacity, bubbles, and the "demographic bomb" often fall by the wayside. Yet China's rise as a high-income country is anything but certain.
By Redaktion Table
