China’s $1.7 trillion hangover

China’s $1.7 trillion hangover

Up to 40% of China’s $1.7 trillion LGFV loans are at high risk of default. What’s a panicking Beijing to do?

EuromoneyFXNews.com

EuromoneyFXNews.com

Sign up to receive free alerts from our foreign exchange news service

September 1996

Country risk Sep 1996: Asia's economies start to slip


In Euromoney's semi-annual ranking of country creditworthiness, the winners are the emerging countries of east and central Europe. But south-east Asian economies and even Japan ­ are looking riskier, as debt ratios worsen and monetary instability spreads. Commentary by Rebecca Dobson.


For historical country risk data please visit the Euromoney Country risk website

 |  Global economic projections Methodology

The results look encouraging for eastern Europe and Latin America; they look worrying for Asia.

Every six months, Euromoney polls economists and political analysts for their views on the creditworthiness of almost 170 countries around the world. To that, we add an array of quantitative data, from debt ratios to access to capital markets (see detailed methodology). The result is a sensitive measure of the riskiness of investing in these economies.

This month's rating justifies the growing perception that Asia is become economically mature and more politically unstable. On average, the Asian countries have slipped in the ranking by...

More information on country risk


The rest of this article is available to subscribers only

Please Subscribe below.
Already a subscriber? Log in here.





Download the Free Euromoney iPad app today