Pacific Investment Management Co. on China debt, this via Bloomberg:
- Chinese companies will be able to refinance most of their borrowings in the next 12 months as the authorities refrain from carrying out broad-based deleveraging
- This will contribute to debt expanding faster than nominal gross domestic product
Luke Spajic, head of portfolio management for emerging Asia at Pimco:
- "The overarching issue is that we don't envisage a drop in the debt stock,"
- "In general, this market is domestically funded -- so as long as China avoids a sharp economic slowdown over the next few years, then in all likelihood, this debt should all or in general be rolled over quite comfortably."
