The resultant debt build-up to prop up global growth is now unravelling at the time when global interest rates have risen. Bloomberg said that a debt hangover in Asia matters because the region is the biggest contributor to global growth. “This bloated debt issue is most pronounced in China where deep concerns have emerged over its unsustainable debt levels,” noted Lee. “Not all Asian countries are highly-indebted. “The fastest growing Asian countries no longer boast of above 8% growth, unlike in the 1990s,” noted Pong.

Source: The Star April 16, 2017 23:14 UTC