The ongoing crisis the Evergrande Group is facing seem to have spread to other big chinese property development companies, as CFLD and Tahoe are also reported to be facing a debt crisis.

The firms have crossed the three red lines of the real estate market as outlined by China’s top regulators thus, reason they are facing a debt crisis. The debt may have a huge impact on China’s overall economic performance.

Investment and financing by 100 major Chinese real estate enterprises in the first nine months of 2021 reached 109.19 billion Yuan, narrowing 21 per cent yearly due to the government’s tightening financing policy.

The number of bond defaults by real estate enterprises presently stands at 39 up from 25 in 2020.

Share this: