China debt EXPLODING, will soon pass ...

China debt EXPLODING, will soon pass US levels!

Posted in the China Forum

CCP are HATED in CHINA

Surrey, Canada

#1 May 15, 2013
China Corporate Debt to Overtake U.S. Within Two Years, S&P Says
By Rachel Evans - May 14, 2013 8:51 PM PT

Chinese corporate borrowing will probably exceed that of U.S. companies within the next two years, according to Standard & Poor’s.

Non-financial institutions from the world’s second-largest economy will need $18 trillion of debt during the five years ending 2017, the ratings company said in a report yesterday. That’s 34 percent of the $53 trillion in bonds and loans S&P estimates will be sought globally and compares with $13 trillion forecast for U.S. companies.

Chinese and Hong Kong borrowers sold $41.2 billion of U.S. dollar-denominated bonds since December, the busiest start to a year on record, according to data compiled by Bloomberg. Cnooc Ltd.(883), the nation’s biggest offshore energy explorer, raised $4 billion this month with the largest offering out of Asia in a decade, as it looks to replace part of a loan used to acquire Canada’s Nexen Inc.

“High levels of investment, primarily in manufacturing, real estate, and infrastructure, have supported the country’s strong economic growth rate, particularly over the past five years - and credit is fueling this investment,” S&P said in the report.“While China is now on a lower growth trajectory than in the prior decade, the trajectory is still very high by global standards.”

China’s economic expansion unexpectedly slowed to 7.7 percent last quarter from a year earlier, losing momentum from the 7.9 percent expansion in the previous three months, according to the statistics bureau.

Debt Piles
China’s risk of a growth correction is the highest among 32 economies surveyed because the nation’s investments are less productive, S&P wrote in the report. The country’s outstanding corporate debt will overtake that of the U.S. in 2014 if it swells at 1.2 times the pace of nominal gross domestic product growth, or in 2015 if the increase matches GDP, S&P said.

Companies across the Asia-Pacific region will need $27 trillion of debt in the five-year period, borrowers in the euro zone and the U.K. will seek $10 trillion and companies in Latin America will raise $1.4 trillion, according to the report. Banks and bond investors will probably be able to accommodate the debt demands, S&P said.

China will need more than $8 trillion for refinancing during the five years, accounting for half of such needs in the Asia-Pacific region, according to the estimates.

Borrowers from Hong Kong and China have sold seven times more bonds to repay existing debt this year than in the first five months of 2012, data compiled by Bloomberg show. Bright Food Group Co., which has operations from dairy to wine, this week issued $500 million of securities maturing May 2018, according to data compiled by Bloomberg. The company will use the funds to repay financing for its acquisition of British cereal maker Weetabix Ltd., Moody’s Investors Service said in a report on May 7.

To contact the reporter on this story: Rachel Evans in Hong Kong at revans43@bloomberg.net

To contact the editor responsible for this story: Katrina Nicholas at knicholas2@bloomberg.net
CHINA CRASH is HERE

Surrey, Canada

#3 May 15, 2013
"China’s risk of a growth correction is the highest among 32 economies surveyed because the nation’s investments are less productive, S&P wrote in the report. The country’s outstanding corporate debt will overtake that of the U.S. in 2014 if it swells at 1.2 times the pace of nominal gross domestic product growth, or in 2015 if the increase matches GDP, S&P said. "
lct

Beijing, China

#4 May 15, 2013
within the next two years,there will not be corporate in USA to begin with.
CHINA CRASH is HERE

Surrey, Canada

#6 May 15, 2013
lct wrote:
within the next two years,there will not be corporate in USA to begin with.
Hello "Ick". Is that some sort of childish Hitlerite threat, or have you CCP finally gone insane now from eating too much rat-meat hot pot and breathing all those toxins in?

Hey! Dummy! CORPORATE AMERICA FEEDS HALF OF CHINA and has done so for THE LAST THIRTY YEARS!

Funny CCP CLOWN!

HA HA HA HA HA HA HA HA HA!
Indian

San Francisco, CA

#7 May 15, 2013
Yes my Indian Brethren from Canada, India will soon be on top of the world.
JUNE FOURTH MASSACRE

Surrey, Canada

#8 May 15, 2013
Sorry, but I'm not Indian.

I note that your apparent extreme position makes it quite likely that you yourself are a Chinese Communist Party stooge trying to pose as a convenient "foreign enemy" to better serve your masters in Beijing.

Have a nice day.
JUNE FOURTH MASSACRE

Port Moody, Canada

#9 May 16, 2013
lct wrote:
within the next two years,there will not be corporate in USA to begin with.
Hiding?

Judging by your weakness, it looks like within the next two years, there will not be a Chinese Communist Party dictatorship to begin with!

HA HA HA HA HA HA HA!
JUNE FOURTH MASSACRE

Port Moody, Canada

#10 May 21, 2013
HOORAY FOR A FREE CHINA!

See how the CCP liars constantly HIDE in their increasing WEAKNESS?

Won't be long now!

Tell me when this thread is updated:

Subscribe Now Add to my Tracker

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

China Discussions

Title Updated Last By Comments
many filipina are slut, cheap, backstabber and (Jul '13) 14 hr Naira 21
Are Asians Inherently Smarter? (Apr '12) 18 hr Piko 132
News 'Huge majority opposes one-state solution betwe... Fri Jeff Brightone 1
News China warns US after Mattis says Senkakus cover... Fri Strong Wakamoto 53
News 'China attaches great importance to Sino-Serbia... Thu Kosovo is Serbia 1
News Trump's ambassador pick is well-known figure in... Thu Jeff Brightone 1
the new world is here Feb 16 yes 1
More from around the web