Bank Meltdown Is Coming To China As Evergrande Crisis Triggers Commercial Real Estate Collapse

The financial disaster alert is on! A catastrophic bank meltdown seems to be looming in China: The country’s entire financial sector is getting extremely alarmed with the possibility of a major default crisis, given that one of its biggest property developers, Evergrande, recently announced that it became unable to pay its gigantic debt. That debacle has exposed the perilous state of China’s vast property sector and its consequences could have a ripple effect across global markets and lead to billions in losses. Last week, Evergrande, the world’s most indebted property developer, warned that it would likely fail to meet its financial obligations, triggering widespread panic among investors, dealing a severe blow to its bonds, and resulting in trading suspensions in the markets of Shenzhen and crisis led two credit rating agencies to downgrade Evergrande last week, and it sparked a shocking 80% collapse on its Hong Kong-listed shares since the beginning of the year. And at the beginning of this w