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Godfree Roberts's avatar

While it is appropriate to study China's debt, Western media have completely distorted its significance. China has the lowest debt burden and the highest asset : debt ratio of any nation.

Beijing is holding at least $9 trillion in reserves, and explosive GDP growth ($1.5 trillion this year) would quickly erase the debt in any case.

90% of its debt is productive, backed by assets and paying dividends. The 'white elephant' 40,000km HSR system has an 8% ROI, and the Three Gorges has a 300% ROI.

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