Today: Nov 25, 2024

Evergrande shares halted after liquidation order by Hong Kong court

Evergrande shares halted after liquidation order by Hong Kong court
January 29, 2024



China Evergrande, a major property developer in China, has been caught in the country’s debt crisis in recent years. The Wall Street Journal reported that Evergrande’s overseas creditors were unable to reach a last-minute agreement over the weekend to restructure their debt, potentially leading to the company’s liquidation. Evergrande, which is the world’s most indebted property developer, defaulted in 2021 and announced an offshore debt restructuring program in March of last year. In response to the debt crisis in the property sector, Chinese policymakers have been working to address the issue. The People’s Bank of China and the Ministry of Finance recently announced measures to increase liquidity for property developers, valid until the end of the year, to alleviate the cash crunch caused by Beijing’s crackdown on real estate debt. Despite these measures, the property sector in China continues to face challenges due to the Evergrande situation, according to Alexander Cousley, APAC investment strategist at Russell Investments, who emphasized the need for more targeted and forceful interventions by the government. Evergrande’s crisis has sparked concerns about potential contagion in China’s property market, with worries that it could affect other parts of the economy. Another major developer, Country Garden, has also been struggling with debt, but has expressed hopes of avoiding default on its yuan-denominated bonds. As this situation continues to develop, stay tuned for updates.

OpenAI
Author: OpenAI

Don't Miss

5 issues to grasp sooner than the inventory marketplace opens Monday

5 issues to grasp sooner than the inventory marketplace opens Monday

Listed here are an important information pieces that traders wish to get
Treasure present in area? How if NASA will get this asteroid to Earth, each unmarried individual can turn into a billionaire – Occasions of India

Treasure present in area? How if NASA will get this asteroid to Earth, each unmarried individual can turn into a billionaire – Occasions of India

Asteroid hitting the Earth (Consultant Symbol: Canva) Consider a cosmic treasure chest