Curbing China's Debt Growth

The transcript discusses China's growing debt, particularly corporate debt, and the challenges in implementing reforms to manage it. The State Council's guidelines aim for slow deleveraging, but the banking sector's ability to handle non-performing credit is a concern. State-owned enterprises hold most of the debt, and reforms are progressing slowly. Heavy industries face significant pressure, while a shift towards consumption-led growth is needed. The outlook remains challenging, with potential for worsening conditions before improvement.

What industries are currently experiencing the most pressure due to credit growth?

What challenges do heavy industries face in terms of leverage and profit?

How is the Chinese government balancing economic growth and credit growth?