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China Rejects $1 Trillion Housing Rescue Plan Pitched by IMFarchive.md/FrhES
565 sats \ 4 comments \ @south_korea_ln 5 Aug news
Chinese authorities have rejected a proposal made by the International Monetary Fund to use central government funds to complete unfinished housing, dealing a blow to hopes for more forceful support to an industry that’s been a major drag on the economy.
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“It would be inappropriate for the central government to directly provide fiscal support, as it could lead to expectation of future government bail-out and therefore moral hazards,” Zhang said.
Kinda ironic to have China teach the IMF about the dangers of bailouts...
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2 sats \ 0 replies \ @OT 5 Aug
Maybe its just not at that stage yet. I think they will when there's pitch forks in the street.
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0 sats \ 0 replies \ @neuromancerbiz 5 Aug
Huge
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0 sats \ 0 replies \ @Akg10s33 5 Aug
EfeFrom any point you see it...doing business or supposed bailouts with the IMF is like selling your soul to the Devil.. Personally I think and you can see it throughout history and with different countries that those bailouts later in the future were very harmful once said country was economically balanced or emerged a little from the crisis it was in when the monetary fund helped them... the interests are many and more than being a help, that debt ends up being a greater weight! and well now you can imagine the Chinese who simply like to do things their own way! and what they don't know they invent themselves!! 🤭
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0 sats \ 0 replies \ @Satosora 5 Aug
They want to buy back their own companies for cheap. If IMF owns them, they will have to report accurate earnings and such.
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