China and India Have Different Answers for Their Debt Messes

  • China favors debt-equity swaps as India aims for fix by 2017
  • "Indian plan seems to be more advanced" than the China plan

A worker sits on tires at a vehicle maintenance workshop near the Delhi city boundary in Faridabad, Haryana, India, on Friday, April 8, 2106. The odd-even car rationing plan is scheduled to return on April 15 as Delhi Supreme Court is also set to hold a hearing regarding the large vehicle diesel ban. Both measures are aimed at curbing emissions in the world's most polluted city, according to a 2014 World Health Organization database.

Photographer: Prashanth Vishwanathan/Bloomberg
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China and India are both grappling with escalating bad debt challenges lurking in their banking systems. Yet the two Asian economic giants are embracing markedly different strategies to clean up the mess.

QuickTake China's Debt Bomb