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The Guardian - UK
The Guardian - UK
Business
Julia Kollewe

China’s Country Garden warns it could default on debt

The headquarters of Country Garden Holdings in Foshan, China
The headquarters of Country Garden Holdings in Foshan, China. The country’s property sector is dragging down its overall growth. Photograph: AFP/Getty Images

China’s largest private developer has warned it could default on its international debts, dealing another blow to the country’s embattled property industry.

Country Garden has about $200bn (£163bn) in liabilities and nearly $11bn in dollar-denominated offshore bonds. It has not defaulted so far, but has missed coupon payments on some dollar bonds since last month and faces the end of 30-day grace periods for making payments from next week.

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