Authorities have said they are worried about the property market posing risks to the financial system. Nomura estimated that as of June, Chinese developers had racked up debts of $5.2 trillion. In August 2020, they introduced the three-red-lines rules limiting how much borrowing developers could do. Share Your Thoughts Can China cool developers’ borrowing binge without torpedoing the property market and hurting the economy? The other problem for developers, and for China’s property market overall, is the way some of the trends that fueled the boom are reversing.

Source: Wall Street Journal October 30, 2021 18:12 UTC