China needs to be vigilant of the impact of external economic and financial fluctuations on its economy and finance, according to the 2017 China Financial Risks and Stability report released by Yicai Research Institute earlier this week.
China’s financial stability risks remain high, with some 15 percent of Chinese enterprises’ ‘interest coverage ratio’ (ICR) less than 1, meaning those Chinese firms are still borrowing new loans to repay the old ones, says the report.
For more on this, CRI's Zhao Ying spoke with Sun Tao, former IMF senior economist, author of the first chapter of the report.
