The crisis of Evergrande, Chinese real estate giant, makes global markets feverish
Investors are waiting to see if Evergrande has the capacity to pay some of the interest this week.
Peter PARKS AFP
Text by: RFI Follow
1 min
This Tuesday, September 21, the president of the Chinese real estate group assured staff that the company "would soon come out of its darkest period."
A statement that comes the day after a day of nervousness in world markets, worried about a possible default by the Chinese real estate giant.
After the Hong Kong stock exchange, European financial centers are trying to recover from their fall on Monday.
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Despite this reassuring statement, the stock markets remain feverish.
Investors are waiting to see if Evergrande has the capacity to pay some of the interest this week.
Weighed down by a colossal debt of nearly 260 billion euros, Evergrande warned a week ago that it could not honor some of the obligations to its creditors.
What also makes the markets nervous is the lack of information from the Chinese authorities.
The memory of
Lehman Brothers
hovers
They still haven't said anything about what they plan to do with this real estate giant.
Investors fear that a possible collapse of the group could cause a shock wave in the credit market in China and by domino effect around the world.
A scenario reminiscent of the bankruptcy of the American bank
Lehman Brothers
and the outbreak of the global crisis of 2008. But for experts, the Chinese regime has no interest in dropping the company because its fall would have enormous consequences for the regime and its social stability.
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To read also:
The Chinese real estate developer Evergrande in free fall on the Stock Exchange
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