The heavily indebted Chinese real estate company Evergrande has promised punctual interest payment in the millions and is thus relying on calming the financial markets.
In a notice to the Shenzhen Stock Exchange on Wednesday, the company said it had agreed a plan to pay interest on a domestic bond that runs until 2025.
According to the Bloomberg news agency, the payments are worth 232 million yuan.
The payment due on Thursday could initially prevent the imminent bankruptcy of Evergrande, but the company did not comment on further liabilities due on Thursday. Overall, the company is groaning under a mountain of debt equivalent to 260 billion euros and has put the financial markets in turmoil. If the large corporation goes bankrupt, there is a risk of fatal economic consequences. It is still questionable how the Chinese government will react to the imbalance.
Despite the announcement, the Asian markets were still not convinced of the company's future. The Nikkei index, which comprises 225 values, was 0.8 percent lower at 29,608 points. The broader Topix index fell 0.6 percent and stood at 2052 points. The Shanghai Stock Exchange was unchanged. The index of the major companies in Shanghai and Shenzen went on the spot. In Asian foreign exchange trading, the dollar gained 0.1 percent to 109.36 yen and stagnated at 6.4655 yuan. In relation to the Swiss currency, it was quoted 0.1 percent higher at 0.9240 francs. At the same time, the euro remained almost unchanged at 1.1725 dollars and rose 0.1 percent to 1.0834 francs. The pound sterling gained 0.1 percent to $ 1.3670.
There was also uncertainty among investors in expectation that the US Federal Reserve could come one step closer to tapering. Most analysts assume, however, that the Fed will not go into detail: “Even if an announcement of the tapering is not expected, the dot plot could cause a positive surprise and force Powell to back down at the press conference make, ”said Tapas Strickland, director of economics and markets at National Australia Bank.