China Banks Try to Reassure Investors Over Evergrande Exposure

China Banks Try to Reassure Investors Over Evergrande Exposure

Assessment

Interactive Video

Business

University

Hard

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The video discusses the high risks associated with Evergrande's significant debt, with nearly half due within a year. Despite this, Chinese banks reassure investors of sufficient collateral and risk control. The PBOC's market stabilization efforts, including financial injections, are highlighted, especially in the context of the quarter-end and upcoming holidays. The regulators aim to prevent a hard landing in the property sector and avoid full-blown bankruptcies.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the total amount borrowed by Chinese Evergrande from financial institutions?

572 billion yuan

500 billion yuan

600 billion yuan

550 billion yuan

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What assurance have Chinese banks given to investors regarding Evergrande's financial situation?

They will increase interest rates

They have no collateral

The risks are under control

They are facing bankruptcy

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What factor is influencing the PBOC's potential actions?

A change in leadership

Quarter-end and a long holiday

An increase in interest rates

A new fiscal policy

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the government's main concern regarding the property sector?

Increasing property prices

A hard landing and bankruptcies

Decreasing demand for properties

Rising construction costs

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How is the PBOC's injection perceived in the market?

As an indication of inflation

As a move to increase interest rates

As a sign of weakness

As a signal to stabilize the market