"Defaults by Chinese borrowers have surged to a record high since the outbreak of the coronavirus pandemic, highlighting the depth of the country’s economic downturn and the obstacles to a full recovery,” the Financial Times reports.
"Defaults by Chinese borrowers have surged to a record high since the outbreak of the coronavirus pandemic, highlighting the depth of the country’s economic downturn and the obstacles to a full recovery,” the Financial Times reports.
I see this a lot online, but I have to ask - where are people even getting exposure to any lending with a full call at any time option by the lender? Like all my personal debt has defined payment terms, just cause the bank might like the money back sooner, they can’t come to me and demand a full repayment in any circumstances.
Why would people expect this for government debt? (this all ignores that the US didn’t go to China and ask for a loan, China bought treasuries on the open market - it’s like owning bonds, not being a bank).