Emerging Asia leverage levels hit record highs

07 Aug 2012

Levels of indebtedness are rising across Asia-Pacific due to rapid private sector growth, particularly in China, Vietnam and Mongolia. It could lead to downgrades, says Fitch.

Rapid credit growth in the Asia-Pacific region has led emerging Asia’s leverage levels to hit all-time highs, leaving several countries including China vulnerable to a run of downgrades, warns Fitch Ratings.

The region’s credit/GDP ratio will reach 148% by the end of this year, close to the peak ...

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