What’s behind the collapse of Chinese property development giant Evergrande?
China Evergrande, once the country’s second-largest real estate developer, is drowning in debt. Some 1.5 million people have put deposits on new homes that have yet to be built. Bankruptcy could be catastrophic. Over the past two days, angry protesters have gathered outside the real estate firm’s headquarters, demanding to know about its future. Investors are growing increasingly nervous that if Evergrande were to collapse, this could could spread to other property developers and create systemic risks for the banking system of the world’s second-largest economy.