Concerns over China’s US$29 trillion debt


Buying spree: Wang’s Dalian Wanda bought Hollywood production and finance company Legendary Entertainment for US3.5bil in 2016. — AFP

WITH US$29 trillion in debt, China’s potential slowdown in economic growth may be a cause for concern but some do not expect its high growth to last forever, anyway.

“It would be unrealistic to expect China to grow at 7%-8% forever. For an economy that is already the world’s largest in terms of purchasing power parity (PPP), and amid a spell of prolonged slow growth globally, a growth rate of 5% is still very rapid,” said Pong Teng Siew, head of research, Inter-Pacific Securities.

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