China’s ‘Epic’ Debt Load Means Big Task for New Governor: Chart

In the last nine years, Chinese borrowers have taken on debt equal to around 100 percent of gross domestic product. That’s quite a challenge for Yi Gang, who succeeds Zhou Xiaochuan as central bank governor, says Tom Orlik, chief economist for Bloomberg Economics. It’s difficult to find examples of major economies that have borrowed so much in such a short period of time -- many that have taken on less debt faced a financial crisis and an economic hard landing. “On Zhou’s watch, a credit bubble of epic proportions expanded -- now it’s up to Yi to manage it down.”