Even as Beijing pushes out new measures to stimulate its economy, China’s growth slowdown will make it harder for the country’s companies to pay their debts this year, ratings agencies say.
The Chinese government on Monday announced official GDP figures for last year that showed the world’s second-largest economy expanded at its slowest pace in nearly three decades.
And while an annual growth rate of 6.6 percent is a figure most countries could only dream of, it marked a continued slide for Asia’s largest economy. Slower growth can mean weaker profitability for indebted companies and increased risk for those holding their bonds.
