Gateway Pundit,
by
Antonio Graceffo
Original Article
Posted by
4250Luis
—
9/10/2025 5:36:47 AM
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Last month marked the collapse of China’s Evergrande, once the world’s most indebted developer with $300 billion in liabilities. The real estate sector remains a debt bubble, fueled by roughly $695 billion in new government-approved loans.
While the property crisis has been widely reported, the broader scale of China’s debt problem is less understood. Official figures show that public and private debt combined already exceed 309% of GDP, yet even this number understates the true scope. When other sources of leverage are factored in, such as margin trading, shadow banking through wealth management products, and off-balance-sheet local government borrowing, China’s total debt burden climbs to at least 400 percent of GDP.