What's behind the collapse of Chinese property development giant Evergrande? | DW News


0
What's behind the collapse of Chinese property development giant Evergrande? | DW News



China Evergrande, once the country’s second-largest real estate developer, is drowning in debt. Some 1.5 million people have put deposits on new homes that have yet to be built. Bankruptcy could be catastrophic.
Over the past two days, angry protesters have gathered outside the real estate firm’s headquarters, demanding to know about its future. Investors are growing increasingly nervous that if Evergrande were to collapse, this could could spread to other property developers and create systemic risks for the banking system of the world’s second-largest economy.

Subscribe: https://www.youtube.com/user/deutschewelleenglish?sub_confirmation=1

For more news go to: http://www.dw.com/en/
Follow DW on social media:
►Facebook: https://www.facebook.com/deutschewellenews/
►Twitter: https://twitter.com/dwnews
►Instagram: https://www.instagram.com/dwnews
Für Videos in deutscher Sprache besuchen Sie: https://www.youtube.com/dwdeutsch
#Evergrande #China #RealEstate

source


Like it? Share with your friends!

0

What's Your Reaction?

hate hate
0
hate
confused confused
0
confused
fail fail
0
fail
fun fun
0
fun
geeky geeky
0
geeky
love love
0
love
lol lol
0
lol
omg omg
0
omg
win win
0
win
DW News

DW News

40 Comments

Your email address will not be published. Required fields are marked *

  1. evergrande going bunk is literally a result of government regulation, and deleveraging of the economy. Evergrande going down is by design, to prevent a bigger shock in the future.

  2. That is a joke. Totally different from Lehman. Every grand is big yes but still tiny compared with the China real estate and whole economy market. The more sugnifucant difference is it had less finnicial debt links with others. than Lehman which collapsed many others. If sth you believe claps happen it should have already happened in a month. In reality , Most my friends house in there are ok and ppl have much cash than credit cards. Every time in last three decades some oversmart ansylust predicted China economy would collapse , they all failed at the end. They totally didnot understand why it is ok and why it grows in decades.

  3. And now China couldn’t pay money for coal.
    Many China city was power failure China people was very angry but they can’t do anything even complain on the internet.
    In China *govement is god people are servants *

  4. First lets get the truth out the way. this is a Chines company not an independent one. They have built whole cities that have enough structures to house millions (each) $800 billion USD in dept. They should have built a canal from Caspian Sea to the Yangzee and Yeloow Rivrs in China, refilling the Aral Sea and fed by canals built off the many Russian rivers that stretch from the arctic sea to southern Russia. Over 90% of this canal would be in the desert with the mountians on the China Uzbekastan border and the last few hundred miles in Central China for multiple lock systems at interval with moderate drops to get to the lower elevations of China. The canal would be wide enough for 2 Panama City class canal ships to pass eachother. Even this project woudln't cost half or a quarter of $800 billion USD.

  5. $300 Billion is nothing to the Chinese. They have a population of 1.7 Billion people it's like $20 per person for 2 weeks, that is not a crisis. However, it does make people lose confidence in the system with this nothing is too big to fail mentality. A company's worth is based on profits and more importantly, the potential to make money if that is lost then the entire market's stability is threatened and that is the problem, not the $300 billion in debt, but the hundreds of trillions in confidence that is loss by the selloff..

  6. Every Chinese large company has a CCP conman story (so called "White Glove") behind it. Those investing in them are either oblivious or greedy. Don't put your faith on any accounting audit firm (e.g. PWC) or investment bank (e.g. BlackRock) either. They are compromised long before, and only fatting their own pocket while eyeing on your pocket. Staying away from any Chinese company no matter how attractive on book until the country becomes a democratically accountable.

  7. Many experts explain why China will fail. All this experts might help the US government to solve the depth crises – the worn out infrastructure – the bad education – the racism – the death rate by shootings – the inmate rate – the poverty and homeless – should release the Guantanamo prisoners according the human rights and stop all the sancions against humanity and all the war without the UN resolution. Please finish this task and then we will all focus on the bubbles of China.

  8. Make sure you take all of his assets you can’t do this to people. 300 billion he borrowed he’s stole majority of that money I’m sure. The owner needs to be investigated deeply he has that money stashed somewhere hidden.

  9. As the new Chinese crack down on American companies continues and they exit China faster than they entered this is going to bankrupt a big portion of the business that China had counted on to profit on their terms. Their dreams of world financial domination are over.

  10. Just so you know, this is likely to happen in Europe and USA aswell in upcoming years if we dont stop the inflation, low interest of banks and giving out loans as we are selling sandwiches.

  11. I predicted this curve on the trend I knew this would crash that's why I used to hedge fund on this I bet a huge on the edge not paying off I know it fall somehow I'm able to predict trends that's why I work for Merrill Lynch I started making huge money off a small bets little micro

Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Countdown
The Classic Internet Countdowns
Open List
Submit your own item and vote up for the best submission
Ranked List
Upvote or downvote to decide the best list item
Meme
Upload your own images to make custom memes
Video
Youtube and Vimeo Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF
Gif
GIF format