Orient Capital Sees China's Corporate Defaults Increasing

The video discusses the current state of the deleveraging campaign, highlighting differing opinions on its progress. It addresses the concerns of banks and the lack of clear regulatory targets from the CBRC. The discussion shifts to the rise in corporate defaults and mergers as a strategy to manage debt, emphasizing the role of the government and party representatives in these processes.

What is the current status of the deleveraging campaign according to the discussion?

• It hasn't started yet.

• It is progressing rapidly.

• It has almost ended.

• It is well underway.

What is the main issue banks face due to the CBRC's approach?

• Lack of clear targets.

• Excessive regulation.

• High interest rates.

• Increased competition.

Why are mergers and acquisitions on the rise?

• To expand business operations.

• To reduce competition.

• To manage and bury debt.

• To increase market share.

What unusual step does the government take in handling corporate defaults?

• It merges defaulting companies with others.

• It lets defaults proceed without intervention.

• It directly intervenes in court proceedings.

• It allows free market resolution.

What is expected to happen after the party Congress and into 2018?

• Reduction in government intervention.

• Decrease in corporate defaults.

• Stabilization of the economy.

• Increase in corporate defaults.