Part 2/9:
Evergrande, once a giant in China’s real estate market, is emblematic of the dangers posed by taking on excessive debt and engaging in risky financial practices. With liabilities exceeding $300 billion, it ultimately failed under the weight of its financial mismanagement, leaving homebuyers and suppliers reeling. Their reliance on commercial paper and supply chain financing created an illusion of stability that crumbled under scrutiny, leading to a broader collapse in confidence within the Chinese economy.