Chinese debt …. “The great hole of China”

From The Economist:

• China’s debt is one of the many things worrying investors, “one of the most important, and least understood”.
• Its now 250% of GDP; “a little less than wealthy nations, but far higher than any other emerging market”

The article says (bolding mine):

China has a big debt problem. But it is unlikely to cause a sudden crisis or blow up the world economy. That is because China, unlike most other countries, controls its banks and has the means to bail them out. Instead, the biggest risk is complacency: that China’s officials do too little to clean up the financial system, weighing down its economy for years with zombie firms and unpayable loans.

Hmmm…

The article is not gated and worth a read, if not now then on the weekend: The great hole of China