Friday, November 21, 2014

Even Standard & Poors...

...which is the financial rating agency equivalent to sounds of police sirens at the end of an action movie after everyone but the protagonist and his love interest has been thinks something may be amiss in the middle kingdom.

"A new report from credit-rating group Standard & Poor’s is causing a firestorm in China’s media, with reports citing the analysis as saying half of all government debt in the country may deserve a speculative or “junk” rating.

The recent S&P’s note said 15 of 31 provincial governments in China have issued debt instruments that have “speculative-grade credit features” under its criteria. 

“A marked slowdown in economic growth and a sluggish property market” are weighing on the creditworthiness of Chinese provinces, the S&P report said."

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