Henrymakow.com – Sept 23. 2021
“Evergrande is only the tip of a very debt-bloated China corporate sector iceberg… it’s clear this is only the beginning of a snowballing financial crisis in China.”
In the past, stock markets have crashed in October.
Could this topple the financial house of cards?
The Strange China Feud of Soros and BlackRock
by F.W. Engdahl – (excerpt by henrymakow.com)
If it were only Evergrande that is insolvent due to unpayable debts in a contracting economy, Chinese authorities could no doubt manage it in one or another way by demanding its state banks or large groups like CITIC simply swallow the bad debts to contain spread of the crisis. The problem is that Evergrande, Huarong, PingAn and other large Chinese property investors are clearly only symptoms of an economy which has taken on debt far beyond what was prudent. In April, Beijing’s CCP State Council told local governments that their so-called Local Government Financing Vehicles, with estimated (no one knows) trillions of dollars they had in unregulated shadow bank loans used to finance local projects, had to get rid of excess bad loans or go under.
On July 1, Beijing announced that local government revenues from land sales to developers, some half of all local revenues, must be sent to the central Beijing Finance Ministry and no longer used locally. That insures a catastrophic collapse in the multi-trillion dollar local shadow banks and construction projects. No more Beijing bailouts. At the same time, solvency of China’s fragile multi-trillion “small” banking sector is in doubt, as bank closings increase. Now, with national state-owned giants nearing bankruptcy, the verbal war between BlackRock and George Soros takes on a significant new light. China is in a serious debt collapse crisis.
China already has the world’s largest extent of high-speed rail track, and those are losing money.
The Belt Road Initiative is bogged down in debts that countries are unable to repay and China banks have sharply cut loans to BRI Silk Road projects from $75 billion in 2016 to $4 billion in 2020. Its demographic crisis means the endless flow of cheap rural labor to build that infrastructure is sharply declining.
Look, lots of waffle, just because it’s China, that big bad boggy guy.
Let’s cast our minds back to the post 2008 collapse spin. They wanted to breakup the big UK banks. These banks are/were legally allowed to hide their enormous bad debts.
If you were to take a sample of these debts and sell them on the rigged markets, you’d get pennies on the pound, so these big banks were bust, and they’re still bust.
This is why they couldn’t split these banks up, one part of the new bank would have all the bad debt, however, this exposes the staggering problem, debt is supposed to be an asset, someone has promised to repay at interest. They can’t repay and there are no buyers.
China can do the same or bailout. Post 2008, China even out printed the US, they had to, because 2008 was engineered by the Central Banks with thr purpose of collapsing China or at the very least, hold Chinese progress down.
Since 2008 we’ve had currency wars, illegal sanctions and trade wars. All are precursors to big war.
The City crime cartels & the Wall Street mobs want to take China down. This all started in the late 1990s and hasn’t stopped.
We now see a new Coalition of Willing set against China. I think China will deal with its property market issues. I think bailout, but they could be equally ruthless and let businesses collapse.
How the Chinese react will be done with national security as the prime consideration. We see these problems exacerbated by the fake news, the fake news that doesn’t show the dire economic and social problems in the US.
EVERY month the US Fed provided the Federal regime with a new credit card. The Fed buys US regime debt that cannot ever be paid back and its the same here in the UK. The Bank of England holds well over 25% of UK regime debt. If sheeple ran their finances like this, they’d be in the Workhouse.
I always wondered how China could ditch the last of its dollars without having the US bite it back and maybe this it. Whichever way it does it China has to take a hit, and to collapse some suspect trading house may be a way to do it without raising too much suspicion. But if the US has managed to hang on this long with just printing money then China can survive much better and longer with its manufacturing, skills and knowledge base; its reliable partly gold-backed yuan; excellent infrastructure; its admired foreign policy of building not bombing; and the new trading route the Belt and Road Initiative it’s taking to many places.
At a push China could turn insular and firmly control its imports and exports, then with a billion or so people it can become an economic powerhouse inside its own borders, waiting until the west bankrupts itself. It’s hard for poor people to finance a threat. It’s why poor people the world over get shit on.
If I got a dollar each time I read article “predicting” China’s imminent collapse I would have been very rich man now.
i think wallstreet jews will leave more +
more, going maybe to Singapores Exchange.
concentrating more on china business as
israhell + ratschild jews do since years.