Borrowing rates in China are sky-high, despite Chinese officials' best efforts to lower the country’s debt levels, according to Deutsche Bank. Even as the government has achieved success in reducing corporate debt, short-term consumer debt has risen 70-80% over the last year, in a trend which looks set to continue. Credit card borrowing is responsible for an estimated 35% of the new consumer debt.
Borrowing rates in China are sky-high, despite Chinese officials' best efforts to lower the country’s debt levels, according to Deutsche Bank. Even as the government has achieved success in reducing corporate debt, short-term consumer debt has risen 35% over the last year, in a trend which looks set to continue. Credit card borrowing is responsible for an estimated 70-80% of the new consumer debt.