/ world today news/ China‘s external debt increased by 34 billion. dollars in the second quarter of 2012. and exceeded the amount of 785.17 billion dollars, reports ITAR-TASS.
The data does not include the external debt of Hong Kong, Macau and Taiwan. Most of China’s debt is made up of short-term loans and trade credits, experts say.
#China #external #debt #billion #dollars
**Considering China’s significant role in global trade, what potential ripple effects could its rising external debt have on international financial markets and the global economy as a whole?**
## World Today News – Interview: China’s Rising External Debt
**Welcome to World Today News. Today we delve into the latest figures reporting a significant increase in China’s external debt. Joining us today are two experts to shed light on this development.**
**Our guests are:**
* **Dr. Li Mei, Professor of Economics at Tsinghua University, specializing in Chinese financial markets.**
* **Mr. James Thompson, Senior Analyst at the International Monetary Fund, focusing on emerging economies.**
**I’d like to thank both of you for joining us today. Let’s begin.**
**Section 1: Understanding the Data**
* **Interviewer:** Dr. Li, the reported increase in China’s external debt, reaching over $785 billion, is certainly noteworthy. Could you provide some context for our viewers? Is this a cause for major concern, or is it within expected parameters for a rapidly growing economy like China’s?
* **Interviewer:** Mr. Thompson, from a global economic perspective, how does China’s external debt compare to other major economies? Are there any concerning trends emerging when looking at the composition of China’s debt?
**Section 2: Drivers of the Increase**
* **Interviewer:** Dr. Li, the article mentions that most of China’s debt consists of short-term loans and trade credits. What factors do you think are driving this reliance on short-term financing? Are there any inherent risks associated with this structure?
* **Interviewer:** Mr. Thompson, how might global economic conditions, such as interest rate fluctuations and currency movements, impact China’s ability to manage its increasing debt burden?
**Section 3: Implications and Future Outlook**
* **Interviewer:** Dr. Li, what are the potential consequences for China’s economic growth and stability if this trend of rising external debt continues? What measures could the Chinese government take to address these challenges?
* **Interviewer:** Mr. Thompson, from a global perspective, how might China’s debt situation impact the stability of the global economy, particularly considering its role as a major trading partner?
**Section 4: Concluding Remarks**
* **Interviewer:** Dr. Li and Mr. Thompson, thank you both for sharing your valuable insights with us today. To our viewers, we hope this discussion has offered a deeper understanding of the complexities surrounding China’s external debt and its potential implications.
This interview structure aims to spark debate and provide viewers with a balanced and informed perspective on a complex economic issue. The open-ended questions encourage both guests to express their opinions and potential solutions.
