Speculative loans in China are souring rapidly. Ruzhou, a city of one million people provides examples.
Struggling to keep its economy growing, the city of Ruzhou spent big, but is now asking its health care workers for cash to stay afloat.
Begging Nurses for Money
The New York Times asks How Bad Is China’s Debt?
Ruzhou, a city of one million people in central China, urgently needed a new hospital, their bosses said. To pay for it, the administrators were asking health care workers for loans. If employees didn’t have the money, they were pointed to banks where they could borrow it and then turn it over to the hospital.
Ruzhou is a city with a borrowing problem — and an emblem of the trillions of dollars in debt threatening the Chinese economy.
Local governments borrowed for years toRead More »