China’s debt has soared over the past decade as banks and other lenders, working at the urging of Beijing, turned on money spigots to fuel growth. Chinese debt accumulation had slowed in some recent quarters, suggesting that the country’s leaders were getting a handle on the problem. Considerable building has come from local governments, which contributed heavily to China’s current hefty debt load. Its imports grew faster than exports, thanks in part to China’s stronger currency, which gives consumers more firepower when purchasing things from abroad. That also signals that many of China’s consumers feel comfortable spending money.

Source: New York Times October 19, 2017 02:13 UTC