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The 4 Possible Channels For A Chinese Financial Crisis

The 4 Possible Channels For A Chinese Financial Crisis

That China is a widely accepted global outlier in the context of credit, debt and leverage, look no further than the latest Financial Stability Report from the IMF, which in no uncertain terms lays out where China can be "found" relative to its G-20 peers in the following chart:

Yet according to the IMF, China's bleak picture is based on a relatively rosy estimate of the country's non-financial debt to GDP at approximately "only" 242%.