The Chinese credit crash that everyone fears would make ’2008 look like a garden party’

Few moments in modern financial history were scarier than the week of Sept. 15, 2008, when first Lehman Brothers and then American International Group collapsed. Who could forget the cratering stock markets, panicky bailout negotiations, rampant foreclosures, depressing job losses and decimated retirement accounts a�� not to mention the discouraging recovery since then? Chinaa��s shadow banking system could bring down the worlda��s hottest property markets Bank of CanadaChinese investors are major players in the international real estate markets. And now there are concerns about the quality of loans that have fed into international markets. Find out more Yet a Chinese crash might make 2008 look like a garden party. As the risks of one increase, ita��s worth exploring how it might look. After all, China is now the worlda��s biggest trading nation, the second-biggest economy and holder of some US$4 trillion of foreign-currency reserves. If China does experience a true credit crisis, it would be felt around the world…A�Continue reading